The U.S. Military purchased a sand bagging machine that costs $85,000 today. The military only needs the machine for four years so they have contracted to seel the machine to Manhattan Beach for $149,000, four years from now.

a.Given an annual discount rate of 14 percent, calculate the profit the U.S. Military will make on this asset.(A loss should be indicated by a minus sign.Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)b.At what rate does the U.S. Military just break even on the machine?(Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.)