An asset purchased by a machine tool company 12 years ago for $75,000 can be used up to 3 more years. If the asset is sold now, the company can get $20.000. Otherwise the estimated Year Value, and operating costs shown will apply. A challenger will cost $130,000 and have a maximum life of 6 years. Its market value and operating cost estimates are shown. On the basis of these estimales, in what year should the existing asset be replaced? What are the AW values for the defender and challenger for this plan? Use an interest rate of 15% per year. Calculate only the Aw for year 1and year 3 for the Defender. AWD2 (for year 2) = -$67, 558. Caluclate only the Aw for year 1 for the challenger. The other years are calculated for you. AWC2 = $-76, 012 AWC = $69, 990 AWC3 = $-76, 080 AW6 = $-70, 620 AWC4 = $-72, 209 What is the decision. Write a verbal statement explaining your decision