atar Airways is planning to upgrade the economy class seats to increase customers comfort. Following estimates per seat are available from two suppliers. Supplier #1 offers a life cycle of three years, and supplier #2 offers a life cycle of six years. 1. What are the incremental cash flows for each year, after making the same life cycles for the two alternatives? (2 points) 2. Formulate an equation to calculate ROR on the basis of Net Present Worth utilizing incremental cash flow. NO NEED TO SOLVE THE EQUATION. (1 point) 3. If the MARR value is given to be 10% per year, which alternative should be selected based on Net Present Worth Analysis using incremental cash flow? Justify your answer? (2 points) Year Supplier #1 Supplier #2 Incremental CF 0 -1,000 -2,000 1 400 500 2 400 500 3 400 500 4 500 5 500 6 500