Question: You are evaluating two different milling machines to replace your current aging machine. Machine A costs $264,451, has a three-year life, and has pretax operating

 You are evaluating two different milling machines to replace your current

You are evaluating two different milling machines to replace your current aging machine. Machine A costs $264,451, has a three-year life, and has pretax operating costs of $67,847 per year. Machine B costs $409,893, has a five-year life, and has pretax operating costs of $31,449 per year. For both milling machines, use straight- line depreciation to zero over the project's life and assume a salvage value of $38,976. Your tax rate is 34 % and your discount rate is 10 %. What is the EAC for Machine A? (Round answer to 0 decimal places. Do not round intermediate calculations)

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