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Lang Industrial Systems Company is trying to decide between two different conveyor belt systems. System A costs $200,000, has a four-year life, and requires $65,000

Lang Industrial Systems Company is trying to decide between two different conveyor belt systems. System A costs $200,000, has a four-year life, and requires $65,000 in pretax annual operating costs. System B costs $282,000, has a six-year life, and requires $59,000 in pretax annual operating costs. Both systems are to be depreciated straight-line to zero over their lives and will have zero salvage value. Whichever project is chosen, it willnotbe replaced when it wears out. The tax rate is 30 percent and the discount rate is 9 percent. How do I calculate the NPV for both conveyor belt systems? Is the system with the lowest NPV the one that should be chosen?

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