Question: You are evaluating two different milling machines to replace your current aging machine. Machine A costs $ 2 2 9 , 9 8 8 ,

You are evaluating two different milling machines to replace your current aging machine. Machine A costs $229,988, has a three-year life, and has pretax operating costs of $69,405 per year. Machine B costs $419,187, has a five-year life, and has pretax operating costs of $30,870 per year. For both milling machines, use straight-line depreciation to zero over the projects life and assume a salvage value of $38,281. Your tax rate is 34% and your discount rate is 10%.
What is the EAC for Machine A?(Round answer to 2 decimal places. Do not round intermediate calculations)

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