1-A firm is must choose to buy the GSU-3300 or the UGA-3000. Both machines make the firms production process more efficient which in turn increases incremental cash flows. The GSU-3300 produces incremental cash flows of $26,401.00 per year for 8 years and costs $103,100.00. The UGA-3000 produces incremental cash flows of $27,240.00 per year for 9 years and cost $126,044.00. The firms WACC is 8.59%. What is the equivalent annual annuity of the GSU-3300? Assume that there are no taxes.

2- A firm is must choose to buy the GSU-3300 or the UGA-3000. Both machines make the firms production process more efficient which in turn increases incremental cash flows. The GSU-3300 produces incremental cash flows of $25,661.00 per year for 8 years and costs $100,556.00. The UGA-3000 produces incremental cash flows of $29,251.00 per year for 9 years and cost $125,159.00. The firms WACC is 9.50%. What is the equivalent annual annuity of the UGA-3000? Assume that there are no taxes.

It would be very helpful if you could explain each step for the first question.