Both machines are acceptable, but A should be selected because it has the greater net present value. Both machines are acceptable, but B should be selected because it has the greater net present value. Only Machine B is acceptable. Only Machine A is acceptable.

Turk Manufacturing is considering purchasing two machines. Each machine costs $9,000 and will produce cash flows as follows: Machine End of Year A B 1 $ 5,000 $ 1,000 2 4.000 2,000 3 2,000 11,000 Turk Manufacturing uses the net present value method to make the decision, and it requires a 15% annual return on its investments. The present value factors of 1 at 15% are: 1 year, 0.8696; 2 years, 0.7561; 3 years, 0.6575. Which machine should Turk purchase