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9. You are trying to pick the least-expensive machine for your company. You have two choices: machine A, which will cost $120,000 to purchase and

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9. You are trying to pick the least-expensive machine for your company. You have two choices: machine A, which will cost $120,000 to purchase and which will have operating cash flows of -$8,500 annually throughout the machine's expected life of three years; and machine B, which will cost $150,000 to purchase and which will have operating cash flows of -S6,900 annually throughout that machine's four-year life. Both machines will be worthless at the end of their life. Use the EAC method to select the machine with a cost of capital of 11% (10 pts.)

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