The Scampini Supplies Company recently purchased a new delivery truck. The new truck cost $12,500, and it is expected to generate net after-tax operating cash flows, including depreciation, of $3,250 per year. The truck has a 5-year expected life. The expected salvage values after tax adjustments for the truck are given below. The company's cost of capital is 8%. What is its optimal economic life? Year Annual Operating Cash Flow Salvage Value 0 -12,500 12.500 3.250 10.750 Year Annual Operating Cash Flow Salvage Value 0 -12,500 12,500 3,250 10,750 2 3,250 8,500 3 3,250 6,000 4 3.250 3,500 5 : 3.250 0 1,750 N 3,250 8,500 3 3,250 6,000 3,250 3,500 5 3,250 0 O 1 year O. 4 years O 5 years 3 years