o. A new operating system for an existing machine is expected to cost $710.000 and have a useful life of six years. The system yields an incremental after tax income of $215,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $26,600. b. A machine costs $550,000 has a $21.500 salvage value, is expected to last eight years, and will generate an after-tax Income of $78,000 per year after straight-line depreciation. Assume the company requires a 12% rate of return on its investments Compute the net present value of each potential investment (PV of $1. FV. of S1 PVA of $1. and EVA of $1) (Use appropriate factor(s) from the tables provided.) Complete this question by entering your answers in the tabs below. Required A Required B A new operating system for an existing machine is expected to cost $710,000 and have a useful life of six years. The system yields an incremental after tax income of $215,000 each year after deducting its straight line depreciation. The predicted salvage value of the system is $26,600. (Round your answers to the nearest whole dollar) Select Chart Amount PV Factor Present Value Canh Flow Annual cash flow Residual value Monta