1.- (30 min). It is required to replace an existing extraction equipment in a food manufacturing plant. There are two alternatives: 1 Alternative 1:The company can purchase a new more effective batch extractor for $15,000with--service life of 10 years and zero salvage value. The new extractor would reduce annual-labor and maintenance cost-by 54000, but increase-annual expenses-for-tax-and-insurance by $300.-All other expenses except-depreciation would-be unchanged. I 1 Alternative-2:-Purchasing a continuous-extractor for $20,000 with a service life of 10-years. This extractor would reduce current annual-labor and maintenance cost- by 56,000, but increase the annual expenses for tax and insurance by $500. 1 1 The minimum acceptable return (mar) for the company is 20%. Straight line depreciation method is used. Determine which alternative should be selected