Project a requires less initial investment than project b, Microeconomics

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Project a requires less initial investment than project b

Question: Project A requires less initial investment than project B and both A and B have an IRR greater than MARR. If project A and B are mutually exclusive and the incremental IRR between A and B is more than the MARR, which project should be chosen?

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Microeconomics: Project a requires less initial investment than project b

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