Merrill Painting Contractors needs to purchase a new truck. The owner is considering two different truck models that are currently on the market. Merrill's two alternatives are presented below: (Click the icon to view the two alternatives.) (Click the icon to view the Future Value of $1 table.) (Click the icon to view the Present Value of $1 table.) (Click the icon to view the Future Value of an Ordinary Annuity table.) (Click the icon to view the Present Value of an Ordinary Annuity table.) (Click the icon to view the Future Value of an Annuity Due table.) (Click the icon to view the Present Value of an Annuity Due table.) Requirement Which truck should Merrill purchase given an interest rate of 3%, compounded annually? Assume that maintenance costs will be paid at year-end. (Use the present value and future value tables, the formula method, a financial calculator, or a spreadsheet for your calculations. If using present and future value tables or the formula method, use factor amounts rounded to five decimal places, X.XXXXX. Round intermediary currency calculations and your final answer to the nearest cent, $X.XX.) Begin by computing the present value of Truck A. More info The present value of the first alternative (Truck A) is Now compute the present value of Truck B The present value of the second alternative (Truck B) is Merrill should purchase Truck A Merrill can purchase Truck A for $47,000. The truck has a useful life of 15 years and will require annual maintenance costs of $1,400 each year. Merrill expects to sell the truck for $3,000 after 15 years. Truck B; Merrill can purchase Truck B for $38,000. This truck also has a useful life of 15 years but will have no scrap value. It will require maintenance costs every five years as follows: Year 5 $2,800 Year 10: $5,600 Year 15: $7,600