Question 6: Comparison Methods (10 marks) There are two slightly different models of CNC machine that Bancroft Automotive is thinking about purchasing, to allow them to expand their business into a new market. The costs and savings for each are illustrated in the table below. Cost Elements Extra Features Model Base Model Upfront cost $275,000 $185,000 Annual production savings $33,000 $24,500 Annual maintenance $2,000 the first year, increasing by $100 each year thereafter $1,000 the first year, increasing by $350 each year thereafter Life expectancy 15 years 10 years Salvage value $19,250 $14,800 Assume that Midland's MARR is 9.5%, that both machines are equal to each other, with only the above differences, for the work they need the machines for, and they only have enough money to buy one of them. Use an annual worth comparison to determine which press they should purchase (if any) and make a recommendation