Show transcribed image text Vodafone Inc. is considering investing in a new chile trash project in America. Specifically, they have three options: two they can buy and one is a subcontract. Unfortunately, they have recently learned that the sole sources for processes they can buy are getting out of the business and only one machine of each is available. Their chile trash project will last five years and they will sell the machines after five years but have no estimate of salvage. A: Costs $280.000. has annual operating costs of $85.000 and a service life of five years. Estimated salvage is $-130.000 (yes. negative). B: Costs $350.000. has annual operating costs of $100.000 and a service life of five years with an estimated salvage of $-150.000. C: Subcontract to SummerCorp at an annual cost of $100.000. guaranteed for four years and requiring a four-year commitment This option is renewable for another four years at an increase for a maximum of $120.000 per year if needed because of market conditions. (That's up another $20.000 per year). Use a MARR of 12% and assess options using present worth. Under what conditions might SummerCorp be a better option? Discuss, in depth, your conclusions. Discuss, in detail, what happens if the project gets cancelled after two years. i.e.. lifecycle ends early. Show your calculations