A company wants to do some renovations on a small office building, and it has to evaluate two feasible alternatives for the renovation project. Either alternative A or B must be implemented. The costs are as follows:

Alternative A: Equipment, labor, and material $.....$ $$18,000$

Annual energy cost $.....$ $$32,000$

Annual Maintenance expenses $.....$ $$2,400$

Alternative B: Equipment, labor, and material $.....$ $$60,000$

Annual energy cost $.....$ $$9,000$

Annual Maintenance expenses $.....$ $$16,000$

Major replacement at year $4.....$ $$9,400$

At the end of eight year $($which is the study period we are interested in$)$ the estimated market value for Alternative $A$ is $$2,000$ and for Alternative $B$ is $$8,000.$ Assume that both alternative will provide comparable service comfort over an eight$-$year period, and assume that the major component replaced in Alternative $B$ will have nor market value at end of year.

a$.$ Determine the present value for alternative $A,$ and $B.$

b$.$ Determine the Annual cash flow for alternative A$,$ and B$.$