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A forklift will last for only 4 more years. It costs $6,500 ayear to maintain. For $20,000 you can

A forklift will last for only 4 more years. It costs $6,500 ayear to maintain. For $20,000 you can

A forklift will last for only 4 more years. It costs $6,500 ayear to maintain. For $20,000 you can buy a new lift that can lastfor 10 years and should require maintenance costs of only $3,500 ayear.a-1.Calculate the equivalent cost of owning and operating if thediscount rate is 4% per year? (Do not round intermediatecalculations. Round your answer to 2 decimal places.)  Equivalent cost?  a-2.Should you replace theforklift?YesNob-1.Calculate the equivalent cost of owning and operating if thediscount rate is 14% per year? (Do not round intermediatecalculations. Round your answer to 2 decimal places.)  Equivalent cost$b-2.Should you replace theforklift?YesNo