Hard Hat Company is in the process of purchasing several large pieces of equipment from Machine Corporation. Several financing alternatives have been offered by Machine:

$1.$Pay $$1,210,000$ in cash immediately.

$2.$Pay $$471,000$ immediately and the remainder in $10$ annual installments of $$95,000,$ with the first installment due in one year.

$3.$Make $10$ annual installments of $$157,000$ with the first payment due immediately.

$4.$Make one lump$-$sum payment of $$1,740,000$ five years from date of purchase.

Required:

Determine the best alternative for Hard Hat, assuming that Hard Hat can borrow funds at a$($n$)7\%$ interest rate