(b) Headge Company is intending to outlay $1 million to finance a new fleet of delivery vans. There are two alternatives: (1) The vans made by Sync Power (SP) have a useful life of 3 years and have a large load capacity so that the fleet can generate net cash flows of $450,000 p.a. (2) The Kimi Motor (KM) vans have a high reputation for durability and are estimated to last for 6 years. However, they are smaller than the SP vans and are expected to produce net cash flows of $270,000 p.a. If the company's cost of capital is 10% p.a., explain fully which should be chosen, SP or KM