FINANCIAL MANAGEMENT TEST 2 TEST NO.:1 Duration: 60 mins Total points: 10 points Question 1: (7 points) You are evaluating two different soldering machines. The Human I costs $540,000, has a f life, and has pretax operating costs of $155,000 per year. The Human II costs year life, and has pretax operating costs of $108,000 per year. For both soldering machines, use straight-line depreciation to zero over the project's life and assume a salvage value of $63,000 for Human I and $99,000 for Human Il.If your tax rate is 25 percent and your discount rate is 15 percent, compute the EAC for both machines. Which do you prefer? Why? $860,000, has a five