Quick Accounting question looking for simple answers.

Suppose a company wants to invest $200,000 in a new piece of equipment.  The 
estimated useful life of the equipment is 10 years.  It is estimated to save 
$50,000 in annual cash operating costs.  What is the AARR? 
 
“The trouble with discounted cash flow methods is that they ignore 
depreciation.” Do you agree or disagree? Explain. 

Need ASAP