The government requires a company to install pollution control equipment. The three technologies available are described below. The MARR is 8%. Which should be selected?

Technology A: requires an initial investment of $750,000 and has a life of 12 years. It's operating cost is $100,000 in the first year with the cost increasing by $50,000 in each year of its life. Thus the cost is $150,000 in the second year, $200,000 in the third year and so on. It has no salvage value or disassembly cost.

Technology B: requires an initial investment of $1,200,000. It has a life of 8 years with uniform operating cost of $200,000 per year. To disassemble this alternative at the end of its life costs $400,000.

Technology C: requires an initial investment of $2,000,000. It has a life of 8 years with no operating cost. The equipment must be refurbished at the end of four years for a cost of $600,000. It has no salvage or disassembly cost at the end of its life.