Ridgely Custom Metal Products (RCMP) must purchase a new tube bender. They consider three models with costs and benefits as per the following table:

Model	First Costs	Economic life	Yearly net savings	Salvage Value
T	100000	5	50000	20000
A	150000	5	60000	30000
X	200000	3	75000	100000

Using the present worth method and the least-cost multiple of the service lives, which tube bender should it buy?RCMPs after-tax MARR is 11 percent and the corporate tax rate is 52 percent. A tube bender is a CCA Class 8 asset with a depreciation rate of 20%.