Jack's Emporium authorized the purchase and upgrading of a food truck totaling $115 thousand to improve food preparation and quality while servicing remote catering events.

Three bids from potential vendors were received in the amounts of $105k, $98k, and $90k. Assume the savings will be realized immediately (NOW) for each bid, were it accepted. Using an expected life of 5 years and MARR = 8% per year :

1) Determine the equivalent annual worth of the savings for each bid over the five (5) year life. 2) Which Bid has the greatest Annual Worth of savings? 3) Which Bid has the greatest Present Worth of savings?