Answer in steps without using excel

2. A piece of production equipment is to be replaced immediately because it no longer meets quality requirements for the end product. The two best alternatives are a used piece of equipment (El ) and a new automated model (E2). The economic estimates for each are shown in the accompanying table. The MARR is 15% per year. Which Alternative is preferred? Alternative E1 E2 Capital investment $14,000 $65,000 Annual expenses $14,000 $9,000 Useful life (years) 5 20 Market value (at end of useful life) $8.000 $13,000