1.) Two alternatives are being considered to perform a given job. Both of these alternatives provide equal service. The cost data for each alternative are provided in the tables below: Alternative 1 900,000 100,000 5 15,000 Alternative 2 300,000 30,000 Initial Cost Salvage Value Life, years Annual cost of operation and maintenance Required return 20,000 20 20 Use a conventional cost comparison and determine: (a) An equivalent annual cost comparison assuming infinite service need. Which one do you choose? Why? (b) A capitalized cost comparison assuming infinite service need. Which one do you choose? Why? (c) A present worth cost comparison assuming infinite service need. Which one do you choose? Why? (d) If the Capitalized Benefit of Alternative 2 is $500,000, should this project be undertaken? (Hint: The cost is the initial cost plus the capitalized cost calculated plus salvage value)