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Valley Construction Company must choose between two types of cranes. Crane X costs $ 6 0 0 , 0 0 0 , will last for

Valley Construction Company must choose between two types of cranes. Crane X costs $600,000, will last for 5 years, and will require $50,000 in maintenance each year. Crane Y costs $800,000 and will last for 7 years and will require $30,000 in maintenance each year. Maintenance costs for cranes X and Y are incurred at the end of each year. The appropriate discount rate is 10% per year. Which machine should the company purchase?

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