"The FIN$340$ Company is evaluating the purchase of $2$ competing machines and wants to choose the machine with the lower equivalent annual cost $($EAC$)$; Machine A has an upfront purchase price of $$105,000,$ an annual operating cost of $$11,550$ and a machine life of $3$ years.; Machine B has an upfront purchase price of $$203,000,$ an annual operating cost of $$16,240$ and a machine life of $6$ years; If our company has a WACC of $15\mathrm{.}0\%,$ which machine has the lower equivalent annual cost $($EAC$)$ and what is its EAC?"

$"$$$57,538/$ Machine A$"$

$"$$$69,880/$ Machine B$"$

$"$$$131,371/$ Machine A$"$

$"$$$264,460/$ Machine B$"$

$"$$$69,880/$ Machine A$"$

$"$$$57,538/$ Machine B$"$

$"$$$264,460/$ Machine A$"$

$"$$$264,460/$ Machine B$"$