Consider the following two tractors a company can purchase. The following tables provide the costs the company will incur $($in thousands of dollars$)$ in the lifetime of each tractor.

$\backslash$table$[[,$Initial Cost,Operating Costs per Year,Expected Life$],[$Diesel$,$$$16,000,$$$14,000,6],[$Gasoline$,$$$5,000,$$$13,000,5]]$

The transportation firm can only afford one of the tractors. The two tractors have identical production capabilities.The firm's cost of capital is $1\%.$

A$)$

Find the present value of the costs of

using the two tractors.

Diesel $=($A$)$

Gasoline $=($B$)$

B$)$ Given that the net present value of the costs of the diesel tractor are $($A$)$ and of the gasoline tractor $($B$)$ what are the equivalent annual costs for each machine?

EACDiesel $=($AA$)$

EACGasoline $=($BB$)$

C$)$ Given that the equivalent annual cost id the diesel tractor is $($AA$)$ and of the Gasoline tractor if $($BB$),$ which tractor should the company buy?

Diesel OR Gasoline?