Sugar Sweet {SS} Company produom and sells T,000 specialty Treats per year at a selling price of $350 each. Its current production equipment, purchased for $1 ,85 0,000 and with a five-year useful life, is only two years old. It has a terminal disposal value of $0 and is depreciated on a straight-line basis. The equipment has a current disposal price of $500,000. However, the emergence of a new technology has led SS to consider either upgrading or replacing the production equipment. The following table presents data for the two alternatives: A B C 1 Choice Upgrade Replace 2 Due-time equipment costs $3,000,000 $4,300,000 3 Variable manufacturing cost per Treat $150 \"0 4 Remaining useful life of equipment (years) 3 3 5 Terminal disposal value of equipment 0 0