Company A is considering a project to upgrade its current operation system. The project requires an initial cost of $505,000 to purchase an equipment and the equipment will be depreciated straight-line to zero.

The project is expected to last for 5 years and the equipment is expected to have $57,000 salvage value.

Every year, the system requires pre-tax operating costs of $47,000 from year 1 to year 5.

The required return is 13%.

The tax rate is 21%.

Please calculate the Equivalent Annual Cost for this project.