Please provide thorough explanation. If possible, please type or ensure response is legible.

7. Use incremental challenger-defender analysis to determine the best of the 3 mutually exclusive alternatives. Assume a MARR of 7% and a 5 year life. Alt A Alt B Alt C Initial Investment $5,000 $3,000 $4,000 0&M Costs $200 $400 $400 Annual Benefit $1,200 $1,000 $1,200 Salvage Value $1,300 $700 $1,200