Low$-$energy light bulbs cost $$6\mathrm{.}50,$ have a life of nine years, and use about $$2\mathrm{.}00$ of electricity a year, paid at the end of each year.

The real discount rate is $5\%,$ given as an effective annual rate. Assume that all cash flows are real. The inflation rate is $2\%$ given as an effective annual rate.

Find the Equivalent Annual Cost $($EAC$)$ of the low$-$energy bulbs.

Answer to $2$ decimal places and show your working out in one sentence below.