A firm is considering an investment in a numerical controlled milling machine needed for a ten (10) year project life. Three alternatives are under consideration. The firm uses an 18% MARR. The cash flows of the alternatives are as follows: Cash Flow Initial cost O & M costs /year S 2,650 2,650 1,300 Annual cost savings S 9,000 9,000 8,000 Salvage value Technical life years AB $21,500 $19,200 $23,250 6,225 6,125 7,900 10 5 10 Using incremental rate of return analysis, determine which alternative the firm should select