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Three mutually exclusive design alternatives are being considered. The estimated cash flows for each alternative are given below. The MARR is 12% per year. At the end of the useful life, the investment will be sold. A decision-maker can select one of these alternatives or decide to select none of them. Make a recommendation using the PW method X Y Z Investment cost $275,000 $140,000 $370,000 Annual revenue $93,623 $56,233 $100,986 Annual cost $24,273 $10, 140 $22,091 Useful life 15 years 15 years 15 years Net PW $197,333 $173,933 $167,343 (a) Based on the net PW, which alternative is the most economical? Choose the correct answer below. O A. Alternative Y O B. Alternative Z O C. Alternative X O D. None of the alternatives (b) Calculate the discounted payback period of each alternative. The discounted payback period of alternative X is |years. (Round to the nearest decimal.) The discounted payback period of alternative Y is |years. (Round to the nearest decimal.) The discounted payback period of alternative Z is years. (Round to the nearest decimal.) Based on the payback period, which alternative is the most preferred? Choose the correct answer below. O A. Alternative X O B. None of the alternatives O C. Alternative Z O D. Alternative Y (c) Why could the answers in (a) and (b) be different? O A. because the payback period gives more weight to the cash flows after the payback period O B. because the payback period method ignores the cash flows after the payback period