2 Leonard Motors is trying to increase its international export business. It is considering several alternatives. The three options along with their associated cash flows are listed below.Options:01: Equipment costs $900K now and another $560K in 2 years. Annual M&O costs $79,000. Life of project is 10 years.02: Subcontract production for an annual payment of $280K for years 0 (now) through 10.03: Pay S400K now. Annual expenses exceed annual revenue starting at EOY 1 by S420K and increase 5% per year through EOY 5. Annual revenues exceed annual expenses by $50K from EOY 6 to 10. There is a salvage value of $100K at EOY 10.Please calculate your answer to the nearest whole dollar. Format 0000 No commasThe MARR for Leonard Motors is 15% APR compounded quarterlya. Which option is most financially beneficial to Leonard Motors?O A. Option 2O B. Option 3OC. Option 1b. Based on part a, what is the PW of the most financially beneficial to Leonard Motors? $

The cost associated with the maintenance of machinery or equipment is known as maintenance and…

Leonard Motors is trying to increase its international export business. It is considering several alternatives. The three options along with their associated cash flows are listed below. Options: 01: Equipment costs $900K now and another $560K in 2 years. Annual M&0 costs $79,000. Life of project is 10 years. 02 Subcontract production for an annual payment of S280K for years 0 (now) through 10. 03 Pay $400K now. Annual expenses exceed annual revenue starting at EOY 1 by $420K and increase 5% per year through EOY 5. Annual revenues exceed annual expenses by $50K from EOY 6 to 10. There is a salvage value of $10OK at EOY 10. Please calculate your answer to the nearest whole dollar. Format 0000 No commas The MARR for Leonard Motors is 15% APR compounded quarterly . Which option is most financially beneficial to Leonard Motors? OA. Option 2 о в. Орion 3 OC. Option 1 . Based on part a, what is the PW of the most financially beneficial to Leonard Motors? $