$($Related to Checkpoint $11\mathrm{.}2)($Calculating EAC$)$ Barry Boswell is a financial analyst for Dossman

Metal Works, Inc. and he is analyzing two alternative configurations for the firm's new plasma cutter shop. The

two alternatives, denoted A and $B$ below, will perform the same task, but alternative A will cost $$75,000$

to purchase, while alternative B will cost only $$65,000.$ Moreover, the two alternatives will have very different

cash flows and useful lives. The after$-$tax costs for the two projects are as follows:

a$.$ Calculate each project's EAC, given a discount rate of $9$ percent.

b$.$ Which of the alternatives do you think Barry should select? Why?

a$.$ Alternative A$\text{'}$s EAC at a discount rate of $9\%$ is $

$($Round to the nearest cent.$)$