Please dont round any intermediate calculations. Show at least 2 decimal points for dollar amounts and at least 4 significant digits for rates.

ABC Inc. is planning to replace its filter system. There are two new filter systems to be considered. System A has an initial installation cost of $4,000, annual maintenance cost of $80 and salvage value of $600 at the end of year 10 . System B has an initial installation cost of $3,600, annual maintenance cost of $100 and salvage value of $450 at the end of year 12 . ABC cost of capital is 12%. a) Assume ABC will replace the filter system once it wears off, which system should it choose? b) Given the cost schedule of the existing filter system, when should ABC replace it