Bb Week 9 - Managerial Accounting X WP NWP Assessment Builder UI App X WP NWP Assessment Player Ul Appli X + X CA https://education.wiley.com/was/ui/v2/assessment-player/index.html?launchld=968986a3-b663-4f44-b461-ff0875... - Week 9 - Homework: Chapter 12 Question 10 of 11 0.11 / 1.37 E ... Brooks Clinic is considering investing in new heart-monitoring equipment. It has two options. Option A would have an initial lower o cost but would require a significant expenditure for rebuilding after 4 years. Option B would require no rebuilding expenditure, but its maintenance costs would be higher. Since the Option B machine is of initial higher quality, it is expected to have a salvage value at the + end of its useful life. The following estimates were made of the cash flows. The company's cost of capital is 5%. Option A Option B Initial cost $196,000 $291,000 Annual cash inflows $72,500 $82,500 Annual cash outflows $28,000 $25,600 Cost to rebuild (end of year 4) $49,100 $0 Salvage value $0 $8,500 Estimated useful life 7 years 7 years Click here to view PV table. 43 F X W 9:11 AM Cloudy Q Search P 12/2/2022Bb Week 9 - Managerial Accounting X WP NWP Assessment Builder UI App X WP NWP Assessment Player Ul Appli X + X CA https://education.wiley.com/was/ui/v2/assessment-player/index.html?launchld=968986a3-b663-4f44-b461-ff0875... - Week 9 - Homework: Chapter 12 Question 10 of 11