Nancy's Notions pays a delivery firm to distribute its products in the metro area. Delivery costs are \(\$ 30,000\) per year. Nancy can buy a used truck for \(\$ 10,000\) that will be adequate for the next 3 years. Operating and maintenance costs are estimated to be \(\$ 25,000\) per year. At the end of 3 years, the used truck will have an estimated salvage value of \(\$ 3,000\). Nancy's MARR is 24 percent/year.

a. What is the present worth of this investment?

b. What is the decision rule for judging the attractiveness of investments based on present worth?

c. Should Nancy buy the truck?