4. ABC company is considering the buying of two different pieces of equipment A and B. The equipment A and B will perform the same task and generate the same cash inflow each year. Therefore, A and B can be compared on their cash outflows. The rate of retum is assumed as 10% per annum for both equipment. a. What are present values of the cost for A and B ? b. Which equipment should the company choose? (Hint: you should consider the different life time of the equipment.)