(Solution) - An engineer with Haliburton calculated the AW values shown for -(2025 Original AI-Free Solution)

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An engineer with Haliburton calculated the AW values shown for a presently owned machine by using estimates he obtained from the vendor and company records.
Retention AW Value,
Period, Years $ per Year
1.......... ? 92,000
2 .......... ? 81,000
3 .......... ? 87,000
4 .......... ? 89,000
5 .......... ? 95,000
A challenger has an economic service life of 7 years with an AW of $?86,000 per year. Assume that used machines like the one presently owned will always be available and that the MARR is 12% per year. If all future costs remain as estimated for the analysis, the company should purchase the challenger:
(a) Now
(b) After 2 years
(c) After 3 years
(d) Never