1. (14 Points) A company has 3 options to re-new its production line, two options are presented in the next table. The third option (option C) has an installed cost of $140,000 and an additional cost of $3,000 after 10 years. The annual maintenance cost of Option C is $1200 for the first 5 years and $1000 thereafter. In addition, there is expected to be a recurring major upgrade cost of $1500 every 15 years. Use the Annual worth analysis to find which option is better? (consider i = 10%) First Cost Annual cost Option A -20,000 -3,000 Option B -150,000 -1,000 Salvage value 4,000 20,000 Service life 3