HarboTown Corp. is considering the purchase of a machine. Two alternatives have been isolated. The firms discount rate is 12%. Machine A has a net present value of RM265,000 and a useful life of 5 years. Machine B has a net present value of RM97,500 and a useful life of 8 years. What is Machine As Equivalent Annual Annuity (EAA)?

Select one:

A. RM74,426

B. RM27,047

C. RM 73,513

D. RM 37,512