Problem 9A-2 The following costs are associated with two new peanut picker machines being considered for use: Data PIK-M-UP CARTER'S Life, Years 5 10 First Cost $130,000 $350,000 Salvage Value 12,000 45,000 Benefit, Yearly 67,000 82,000 M&O Costs, Yearly 9,000 13,000 M&O Gradient 700 1,100 The company interest rate (MARR) is 15%. The company will make a down payment of 25% of the first cost for the Pik.M-Up and 15% of the first cost for Carter?s. The loan will have an annual effective interest rate of 10% with annual payments. The length of the loan will be equal to the life of the machine. Recommend which machine to purchase using all the techniques in Problem 9A-1. Problem 9A-2 The following costs are associated with two new peanut picker machines being considered for use: Data PIK-M-UP CARTER'S Life, Years 5 10 First Cost $130,000 $350,000 Salvage Value 12,000 45,000 Benefit, Yearly 67,000 82,000 M&O Costs, Yearly 9,000 13,000 M&O Gradient 700 1,100 The company interest rate (MARR) is 15%. The company will make a down payment of 25% of the first cost for the Pik.M-Up and 15% of the first cost for Carter?s. The loan will have an annual effective interest rate of 10% with annual payments. The length of the loan will be equal to the life of the machine. Recommend which machine to purchase using all the techniques in Problem 9A-1