A firm is considering replacing the existing industrial air conditioning unit. They will pick one of two units. The first, the AC360, costs $26,071.00 to install, $5,039.00 to operate per year for 7 years at which time it will be sold for $7,031.00. The second, RayCool 8, costs $41,532.00 to install, $2,137.00 to operate per year for 5 years at which time it will be sold for $9,060.00. The firms cost of capital is 5.87%. What is the equivalent annual cost of the AC360? Assume that there are no taxes.

Answer in 4 decimal places. Thank You.