1. Station WJXT is considering the replacement of its old fully depreciated sound mixer. Two new models are available. Mixer X has a cost of $350,000, a ten-year life, and after-tax cash flows (including the tax shield from depreciation) of $83,500 per year. Mixer Y has a cost of $210,000, a five-year expected life, and after-tax cash flows (including the tax shield from depreciation) of $68,800 per year. No new technological developments are expected. The discount rate is 12 percent. Should WJXT replace the old mixer, and, if so, with X or Y?