A municipal police department has decided to acquire an unmanned drone for aerial surveillance of a high-crime region of their city. Three mutually exclusive drones are being studied and their data are provided on p. 297. All alternatives are expected to have negligible market (salvage) values at the end of 5 years. The police department€™s MARR is 8% per year. Which drone should be selected?

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Alternative Capital Investment Annual Expenses A B $361,940 183,810 420,000 1,840,000 540,000