Consider the two independent projects listed below Machine A: Machine B: Initial Cost $500,000 $1,750,000 Annual Revenues $250,000 $700,000 Annual Costs $125,000 $450,000 Scrap Value $50,000 $175,000 Service Life 7 years 10 years

a) Considering a MARR of 10%, should either, both or neither be purchased? Use the Annual Equivalent Worth method. b) Determine the payback period for each machine. Should either, both or neither be considered any further if the payback period for this type of investment is 4 years?