a. A new operating system for an existing machine is expected to cost $680,000 and have a useful life of six years. The system yields an incremental after-tax income of $205.000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $11.600. b. A machine costs $450,000, has a $26.000 salvage value, is expected to last eight years, and will generate an after-tax income of $64,000 per year after straight-line depreciation Assume the company requires a 10% rate of retum on its investments Compute the net present value of each potential investment. PV of $1. EV of $1. PVA of $1, and FVA 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 $680,000 and have a useful life of six years. The system yields an incremental after-tax income of $205,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $11,600. (Round your answers to the nearest whole dollar) Select Chart Amount Cash Flow Annual cash flow Residual value X PV Factor - Present Value Nel presentare Required 8 > a. A new operating system for an existing machine is expected to cost $680,000 and have a useful life of six years. The system yields an incremental after-tax income of $205,000 each year after deducting its straight-line depreciation. The predicted salvage value of the system is $11,600. b. A machine costs $450,000, has a $26,000 salvage value, is expected to last eight years, and will generate an after-tax income of 564,000 per year after straight-line depreciation. Assume the company requires a 10% rate of return on its investments. Compute the net present value of each potential investment (PV of 51. FV of $1. PVA O $1. and FVA of $1 (Use appropriate factor(s) from the tables provided.) Complete this question by entering your answers in the tabs below. Required Required B A machine costs $450,000, has a $26,000 salvage value is expected to last eight years, and will generate an after tax Income of $64.000 per year after straight-line depreciation. Round your answers to the nearest whole dollar Select Chant Amount X Cash Flow Annual cash fow Residual value PV Factor - Present Value Nel present value