Your company's old computer system cost $$2\mathrm{.}5$ million $5$ years ago when it was purchased new. Last year it was upgraded at a cost of $$500,000.$ It's current maintenance cost is $$600,000$ per year, and it is expected to last another $4$ years at this annual maintenance level. Its current salvage value is $$0.$

A new computer system is currently available for a price tag of $$1\mathrm{.}5$ million dollars installed. Training on the new system will cost an additional $$200,000$ in the first year only, and its annual maintenance cost is expected to be $$250,000$ per year. In addition, the new system will eliminate one job for an annual saving of $$110,000.$ The new system is expected to last $4$ years with a zero salvage value.

lgnoring the "time value of money" your company should. $q,$

replace the old system with the new system to achieve savings of $$160,000$ in total over the next $4$ years

keep the old system as it is cheaper by $$100,000$ in total over the next $4$ years replace the old system with the new system to achieve savings of $$100,000$ in total over the next $4$ years

replace the old system with the new system to achieve savings of $$140,000$ in total over the next $4$ years

none of the listed answers are correct