1. Consider two machines that are designed differently but have exactly the same output capacity. However, they differ in their investment cost and the cost to operate them: Machine Investment Operational Operational (CO) Cost (C1) Cost (C2) A -12 -6 -6 B -10 -3 Machine A will operate for two years (years 1 and 2) while machine B will operate for one year (next year, year 1). Then both machines must be constantly replaced to keep the factory running. Assume a discount rate of 12% and no corporate taxes, Which machine is the better choice? They are both similar in their overall financial costs. . Machine A Machine B