A garage is comparing the cost of buying two different car hoists. Hoist A will cost $20,000, will require servicing of $1000 every two years, and last ten years. Hoist B will cost $15,000, require servicing of $800 per year, and last eight years.

If the cost of capital is 7%, Which is the better option, given that the firm has an ongoing requirement for a hoist using equivalent annual annuity?