A landscaping business will buy one of three rototillers. The initial cost, expected service life, and trade-in value (at the end of the service life) of each model are presented in the following table. The annual profit from rototilling services is $1400.

Which model should be purchased if the required return on investment is 20%?

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Model Cost () Service life (years) Trade-in value (S) 2000 2800 4200 400 1400