Blue Cat Paving has owned a BAA BAA sheepsfoot roller for $4$ years. They plan to keep it for another $2$ years. However, a sales representative from Overdrive Machinery has approached the company trying to convince them to purchase a new EWE$2$ roller to replace it$,$ arguing that the annual costs will be lower. This machine could be expected to have a life of $6$ years.

After surveying the industry Blue Cat Paving has found another potential option. The RAM$4$ also has lower annual costs than the current machine. However, it has an expected lifetime of only $4$ years.

$\backslash$table$[[,$BAA BAA,EWE$2,$RAM$4],[$Cost when new $($dollars$),90000,146000,100000],[1$ year market value $($dollars$),70000,114000,64000],[2$ year market value $($dollars$),60000,98000,46000],[3$ year market value $($dollars$),50000,82000,28000],[4$ year market value $($dollars$),40000,66000,10000],[5$ year market value $($dollars$),30000,50000,$NA$],[6$ year market value $($dollars$),20000,34000,$NA$],[$Annual costs $($dollars$),38200,20000,25100],[$Expected life $($years$),2,6,4]]$

What are the comparison costs for each machine if the company uses a discount rate of $9\%$ :

$($Note: your answers below should be negative, since the benefits of the machines are not included.$)$

$($Answer to the nearest dollar$)$

Cost per year for BAA BAA

Cost per year for EWE$2$

Cost per year for RAM$4$

Which is the preferred option?

Keep the BAA BAA

Replace with EWE$2$

Replace with RAM$4$