During your first month as an employee at SABIC, you are asked to evaluate alternatives for leasing cars as the lease period of current cars are going to expire in next month. The Company has already decided about the two alternatives that are under consider- ation and has obtained the following financial data; TABLE 1.1 Financial Data for Auto Leasing: Saturn versus Honda Auto Leasing Saturn Honda 1. Manufacturer's suggested retail price (MSRP) 2. Lease length 3. Allowed mileage 4. Monthly lease payment 5. Mileage surcharge over 36,000 miles 6. Disposition fee at lease end 7. Total due at signing: First month's lease payment . Down payment Administrative fee Refundable security deposit Total $15.573 48 months 48,000 miles $219 $0.20 per mile $0 $219 $1,100 $495 $200 $2,014 Difference Saturn - Honda -$273 $15,810 48 months 48,000 miles $248 -$29 $0.15 per mile +$0.05 per mile $250 $250 $248 $800 $0 $225 $1.273 +$741 Models compared The 2005 Saturn 10N3 with automatic transion and A/C and the 2003 Honda Civic DX coupe with automatic tranemaldon and A/C. Disposition fee: This is a paperwork charge for getting the vehide ready for reale after the lease end. (a) Analyze the both alternatives and recommend the best one (Show your calculation for recommendation) (b) If mileage surcharge (over 36,000 miles) for Saturn change to $0.25. What will be your recommendation?