2. Now assume the corporation is considering two methods: land application and contract. The estimates for each method are shown below. First cost, $ Incineration 900,000 Operating cost, $ 80,000 (per 5 years) Salvage value 300,000 Life, years 30 The effective interest rate is 8% per semi year. Contract 0 400,000 (per 3 years) 1,000,000 Infinite Which alternative should be selected? Use Capitalized Cost Approach.