Note: use a calculator to solve it

5 A young industrial engineer analyzed some equip- ment to replace one production worker. The present worth of employing one less production worker just equaled the present worth of the equipment costs assuming a 10-year useful life for the equipment. It was decided not to buy the equipment. A short time later, the production workers won a new 3-year union contract that granted them an immediate 40-per-hour wage increase, plus an addi- tional 25-per-hour wage increase in years 2 and 3. Assume that in future years, a 25-per-hour wage increase will be granted. (a) By how much does the present worth of replac- ing one production employee increase? Assume an interest rate of 8%, a single 8-hour shift, and 250 days per year. (b) What are the ethical issues of replacing workers with advanced technologies from the firm's, the workers', and society's perspective