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A firm is must choose to buy the GSU-3300 or the UGA-3000. Both machines make the firm's production process more efficient which in turn increases
A firm is must choose to buy the GSU-3300 or the UGA-3000. Both machines make the firm's production process more efficient which in turn increases incremental cash flows. The GSU-3300 produces incremental cash flows of $24,660.00 per year for 8 years and costs $100,675.00. The UGA-3000 produces incremental cash flows of $29,405.00 per year for 9 years and cost $125,554.00. The firm's WACC is 8.00%. What is the equivalent annual annuity of the GSU-3300? Assume that there are no taxes. Answer format: Currency: Round to: 2 decimal places. A firm is must choose to buy the GSU-3300 or the UGA-3000. Both machines make the firm's production process more efficient which in turn increases incremental cash flows. The GSU-3300 produces incremental cash flows of $26,302.00 per year for 8 years and costs $100,135.00. The UGA-3000 produces incremental cash flows of $27,735.00 per year for 9 years and cost $124,015.00. The firm's WACC is 8.55%. What is the equivalent annual annuity of the UGA-3000? Assume that there are no taxes. Answer format: Currency: Round to: 2 decimal places
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