Current Attempt in Progress Sheridan Clinic is considering investing in new heart-monitoring equipment. It has two options. Option A would have an initial lower 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 6%. Option A Option B Initial cost $173,000 $267,000 Annual cash inflows $70,800 $80,100 Annual cash outflows $29,100 $25,900 Cost to rebuild (end of year 4) $51,500 $0 Salvage value $0 $7,000 Estimated useful life 7 years 7 years(a) Compute the {1) net present value, {2] protability index, and {3) internal rate of return for each option. (Hint: To solve for internal rate of return, experiment with alternative discount rates to arrive at a net present value of zero.) {lithe net present value is negative use either a negative sign preceding the number eg -45 or parentheses eg (45). Round answers for present value and lRR to 0 decimal places, as. 125 and round protability index to 2 decimal places, es. 12.50. For calculation purposes, use 5 decimal places as displayed in the factor table provided.) Net Present Value Protability Index Internal Rate of Return Option A $ % Option B 5 %