Hagar Industrial Systems Company (HISC) is trying to decide between two different conveyor belt systems. System A costs $350,000, has a 4-year life, and requires $141,000 in pretax annual operating costs. System B costs $430,000, has a 6-year life, and requires $135,000 in pretax annual operating costs. Suppose the company always needs a conveyor belt system; when one wears out, it must be replaced. Assume the tax rate is 22 percent and the discount rate is 8 percent.

Calculate the EAC for both conveyor belt systems. (A negative answer should be indicated by a minus sign. Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.)

Hagar Industrial Systems Company (HISC) is trying to decide between two differer Conveyor belt systems. System Acosts $350,000, has a 4-year life, and require $141,000 in pretax annual operating costs. System B costs $430,000, has a 6-year life and requires $135,000 in pretax annual operating costs. Suppose the company alway needs a conveyor belt system; when one wears out, it must be replaced. Assume the ta rate is 22 percent and the discount rate is 8 percent. Calculate the EAC for both conveyor belt systems. (A negative answer should b indicated by a minus sign. Do not round intermediate calculations and round you answers to 2 decimal places, e.g., 32.16.) System A System B