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 $24,178.00 per year for 8 years and costs $103,136.00. The UGA-3000 produces incremental cash flows of $28,285.00 per year for 9 years and cost $124,739.00. The firms WACC is 8.20%. What is the equivalent annual annuity of the GSU-3300? Assume that there are no taxes.

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 $25,278.00 per year for 8 years and costs $99,061.00. The UGA-3000 produces incremental cash flows of $29,503.00 per year for 9 years and cost $126,204.00. The firms WACC is 8.16%. What is the equivalent annual annuity of the GSU-3300? Assume that there are no taxes.