comparing mutually exclusive projects [lo1] lang industrial systems company (LISC) is trying to decide between two different conveyor belt systems. system a
costs $240000 has a four-year life and requires $75000 in pretax annual operating costs. system b costs $340000 has a six-year life and requires $69000
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 will not be replaced when it wears out. if the tax rate is 34% and the discount rate is 8 percent which project should the firm choose?