A firm is considering replacing the existing industrial air conditioning unit. They will pick one of two units. The first, the AC360, costs $26,500.00 to install, $5,117.00 to operate per year for 7 years at which time it will be sold for $6,875.00. The second, RayCool 8, costs $41,210.00 to install, $2,093.00 to operate per year for 5 years at which time it will be sold for $9,096.00. The firms cost of capital is 6.16%. What is the equivalent annual cost of the RayCool8? Assume that there are no taxes.

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Answer format: Currency: Round to: 2 decimal places.

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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 $26,697.00 per year for 8 years and costs $103,885.00. The UGA-3000 produces incremental cash flows of $29,133.00 per year for 9 years and cost $123,906.00. The firms WACC is 8.63%. What is the equivalent annual annuity of the UGA-3000? Assume that there are no taxes.

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Answer format: Currency: Round to: 2 decimal places.