Quantum Logistics, Inc., a wholesale distributor, is considering the construction of a new

warehouse to serve the southeastern geographic region near the Alabama$-$Georgia border.

Three cities are being considered. After site visits and a budget analysis, the expected net

income and initial costs associated with locating in each city have been determined. The life of

the ware house is expected to be $12$ years, with negligible salvage value.

Interest rate is $15\%.$ Use annual worth analysis to determine which one to recommend.