Consider the following EOY cash flows for two mutually exclusive alternatives (one must be chosen):

The MARR is 5% per year.
a. Determine which alternative should be selected if the repeatability assumption applies.
b. Determine which alternative should be selected if the analysis period is 18 years, the repeatability assumption doesnotapply, and a battery system can be leased for $8,000 per year after the useful life of either battery is over.

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Lead Acid Lithium lon Capital investment Annual expenses Useful life $6,000 $2,500 12 years $0 $14,000 $2,400 18 years $2,800 Market value at end of useful life