1) A production plant manager has been presented with two proposals for automating an assembly process. Proposal (A) involves an initial cost of L.E. 15,000 and an annual operating cost of L.E 20,000 per year for the next 4 years. Thereafter, the operating cost is expected to be LE. 2,700 per year. This equipment is expected to have a 20 year life with no salvage value. Proposal (B) requires an initial investment of L.E. 28,000 and an annual operating cost of L.E. 1,200 per year for the first three years. Thereafter, the operating cost is expected to increase by L.E. 120 per year. This equipment is expected to last for 20 years and have a salvage value of L.E. 2,000. If i= 10% per year, which proposal should be accepted based on a present value analysis