Hollywood Tabloid needs a new state$-$of$-$the$-$art camera to produce its monthly magazine. The company is looking at two cameras that are both capable of doing the job and has determined the following:

Camera $1$ costs $$4,700.$ It should last for eight years and have annual maintenance costs of $$260$ per year. After eight years, the magazine can sell the camera for $$270.$

Camera $2$ costs $$4,200.$ It will also last for eight years and have maintenance costs of $$770$ in year three, $$900$ in year five, and $$1,000$ in year seven. After eight years, the camera will have no resale value. $($FV of $$1,$ PV of $$1,$ FVA of $$1,$ and PVA of $$1)($Use tables, Excel, or a financial calculator. Round your answers to $2$ decimal places.$)$

Required:

$1-$a$.$ Assume that an interest rate of $10\%$ properly reflects the discount rate in this situation and that maintenance costs are paid at the end of each year. Determine the total cost of cameras.

$1-$b$.$ Which camera should Hollywood Tabloid purchase?

Complete this question by entering your answers in the tabs below.

Req $1A$

Assume that an interest rate of $10\%$ properly reflects the discount rate in this situation and that at the end of each year. Determine the total cost of cameras.

$\backslash$table$[[,$Total Cost$],[$Camera $1,],[$Camera $2,]]$