Office Furniture Makers, Inc. uses machines to produce high quality office chairs for other firms. The initial cost of one customized machine is $750,000. This machine costs $12,000 a year to operate. Each machine has a life of 3 years before it is replaced. What is the equivalent annual cost of this machine if the required return is 10%? (Round your answer to whole dollars)

Multiple Choice

• -$285,942

• -$259,947

• -$301,586

• -$313,586

• -$326,947