1. You are purchasing your first car and considering two models. One has a long life of 10 years, but it costs $20,000 initially and $1500 per year to operate. The other costs $15,000 and has an annual operating cost of $1000 and lasts 5 years. Use net present worth method to choose the best alternative. Both have salvage values of $500 at the end of their lives. You will finance the entire cost of either car with a 12% loan