You have been hired as an engineering consultant by a manufacturing company to evaluate the feasibility of replacing their existing production equipment with a new, more efficient model. The company is considering two options: Option A, which is the current equipment, and Option B, the new equipment. Your task is to conduct a present worth analysis to determine which option is more financially beneficial over a 5-year period with 1% MARR. Option A: The existing equipment has a remaining useful life of 5 years. The company purchased it 3 years ago for $500,000. It requires an annual maintenance cost of $20,000. The salvage value of the equipment at the end of its useful life is estimated to be ($100,000 + $371). Option B: The new equipment has an estimated useful life of 5 years. It has a purchase price of $800,000 and requires an annual maintenance cost of $10,000. At the end of its useful life, the salvage value is projected to be ($200,000 - $371)