The City of Happy Sharks Landing is thinking about investing in a new enterprise level GIS (Geographic Information Systems) in order to improve its city assets tracking ability (eg tracking sewer and water valve locations, park benches, signs inventory, etc.), add system modeling abilities to its engineering section, add analysis capabilities to its planning section, better manage work tickets, and overall improve the overall efficiency of the city. The city has two major approaches that it can use for its GIS base, either open source or a pre-packaged program. For either option the city is going to need to purchase hardware and hire new employees. GPS units are for collecting city asset information (units that have an accuracy in the centimeter range are in that price range). For savings, positions can be eliminated or new roles can be utilized by individuals because of improved efficiency. Other contracts could be renegotiated based on modeling what to expect. Billing and Record systems are better able to track what is being performed and recorded. Overall, more efficient city services. Time periods of 10+ years when investigating options, more costs/savings are usually factored in, and various cash flow scenarios are investigated but considering exam time constraints, simplifications have been made. Factors Overhead: 2.1 MARR: 12% Time Period: 5 years New Employees (either way) Cost of Living Adjustments (COLA): 2% each year Administrative Assistant: $25,000 per year Programmer $0,000 per year College Interns: $20,000 per year Hardware (either way) Servers: $20,000 Network Upgrades between city buildings: $75,000 GPS Units (2): $30,000 Training/Seminars: $20,000 Open Source Option Programmer: $60,000 per year (with COLA) Maintenance Contract/Assistance: $50,000 per year Pre-Packaged Option Software Licensing: $50,000 per year Consulting/Initial Configuration: $250,000 Savings Customer Service Clerks Phase-Out (4): $80,000 per year total Other Contract Renegotiation: $125,000 per year Improved Billing Systems: $50,000 per year Improved Street Maintenance and Snow Removal: $30,000 per year Improved Record Keeping: $10,000 per year 1) calculate the PW on new employees (either way) 2) calculate the PW ot the open source option and the pre-packaged option (just the categories) 3)calculate the PW of the savings 4)calculate the PW of each option. which is the better solution and what is the AW for each option.