A state's department of transportation is deciding whether to buy or lease a sonar tracking system for asphalt, concrete, and gravel trucks to be used in road paving. Purchasing the sonar system will cost $5,000 per truck, with a salvage value of $1,500 after the system's useful life of five years. However, the department deciding this purchase is also looking at leasing this same sonar system for an annual payment of $3,500, which includes a full replacement warranty. Assuming that be MARR is 11% and on the basis of an internal rate of return analysis which alternative would you advise the department to consider? Analyze incrementally using rate of return. The number of trucks used in a season varies from 5,000 to 7,500. Does this matter