Bold Company is considering the purchase of one of two machines that is integral to their operations. When this machine is worn out, it will be replaced with a similar machine. The information on the two choices is below:

Machine A Machine B

Initial cost 175,000 150,000

Useful Life 16 years 14 years

Annual maintenance 3,000 4,000

Discount rate 9% 9%

What is the equivalent annual cost of A? ___________________

What is the equivalent annual cost of B? ___________________

Bold Company should choose __________________

A or B

Answers: 24,053 /\ 23,265 /\ B.. Need to know how to find the answers. Detailed instructions please