There is a need to install an electromagnet on the input conveyor of a coal-processing plant. Two suppliers have been contacted: Leaseco will provide the equipment in return for three beginning-of-year annual payments of $1,000 each; Saleco will provide the equipment for $2,783. The equipment provided by both suppliers has an estimated useful life of five years, no salvage value and will result in savings of $1,200 a year. If the MARR is 10%, which supplier should be chosen?