Harwell University must purchase word processors for its typing lab. The university can buy 10 EVF word processors that cost $8,000 each and have annual, year-end maintenance costs of $2,000 per machine. The EVF word processors will be replaced at the end of Year 4 and have no value at that time. Alternatively Harwell can buy 11 AEH word processors to accomplish the same work. The AEH word processors will be replaced after three years. They each cost S5,000, and have annual, year-end maintenance costs of $2,500 per machine. Each AEH word processor will have a resale value of $500 at the end of three years. The university's opportunity cost of funds for this type of investment is 14 percent. Because the university is a nonprofit institution, it does not pay taxes. It is anticipated that whichever manufacturer is chosen now will be the supplier of future machines. The university can also lease an XYZ word processor, which is functionally equivalent to the AEH machine, for S5,500 per year, to include all maintenance. As such, 11 XYZ machines are required. Would you recommend purchasing 10 EVF word processors, 11 AEH machines or leasing 11 XYZ machines? (Hint: Consider using the Equivalent Annual Cost method and assume that the EAC for the XYZ word processor is its annual lease cost) C. 11 XYZ machines O D. all are equivalent in terms of the EAC O B. 11 AEH machines O A. 10 EVF machines