A granary has two options for a conveyor used in the manufacture of grain for transporng, lling, or emptying. One conveyor can

be purchased and installed for $$80,00$ with $$3,500$ salvage value aer $16$ years. The other can be purchased and installed for

$$110,00$ with $$3,50$ salvage value afer $16$ years. Operaon and maintenance for each is expected to be $$14,500$ and $$13,000$ per

year, respectively. The granary uses MACRS$-$GDS depreciaon, has a marginal tax rate of $25\%,$ and has aMARR of $9\%$ aer

taxes.