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A firm is considering replacing the existing industrial air conditioning unit. They will pick one of two units. The first, the AC360, costs $26,534.00 to

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A firm is considering replacing the existing industrial air conditioning unit. They will pick one of two units. The first, the AC360, costs $26,534.00 to install, $5,018.00 to operate per year for 7 years at which time it will be sold for $7,006.00. The second, RayCool 8 , costs $41,849.00 to install, $2,065.00 to operate per year for 5 years at which time it will be sold for $8,949.00. The firm's cost of capital is 6.66%. What is the equivalent annual cost of the RayCool8? Assume that there are no taxes. Answer format: Currency: Round to: 2 decimal places

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