2. Christian Brothers University is exploring the possibility of remodeling the existing Canale Arena or building a new facility named the Shannon Forum. Architects have determined the costs and additional expected income for the new Shannon Forum as shown in the table below. Using a perpetual Annual Worth analysis and a MARR of 8% per year, determine if the existing Canale Arena should be remodeled, or if the new Shannon Forum should be constructed. Complete all calculations to the nearest dollar Alternative Initial Cost Maintenance Cost Remodel Canale Arena $15,000,000 $12,000 in year one, increasing by 3% per year thereafter $7,000,000 at year twelve NA $850,000 25 years Shannon Forum $45,000,000 $9,000 per year for the first thirty years, then $20,000 per year thereafter $8,000,000 at year thirty $900,000 per year $450,000 Infinite Overhaul Cost Additional Income Salvage Value Life