Upstate E$330$ Engineering is considering $2$ CNC router machines. Machine A has an initial cost of $$39,997$ and will result in annual savings of $$10,000.$ Machine B has an initial cost of $$60,000$ and will result in annual savings of $$15,500.$ The interest rate is $12\%.$

a$)$ What is the payback period of Machine A$?$

b$)$ What is the payback period of Machine B$?$

c$)$ What is the discounted payback period of Machine A$?$

d$)$ What is the discounted payback period of Machine B$?$

e$)$ Based on payback period, which machine is preferred?

B

Enter either A or B

f$)$ Based on payback period, which machine is preferred?