Renegade Industries is considering the purchase of a new machine for the production of latex. Machine A costs $3.1 million and will last for six years. Variable costs are 32% of sales, and fixed costs are $1964910 per year. Machine B costs $4.92 million and will last for nine years. Variable costs for this machine are 23% of sales and fixed costs are $1353113 per year. The sales for each machine will be $9.5 million per year. The required return is 12 %, and the tax rate is 38%. Both machines will be depreciated on a straight-line basis. The company plans to replace the machine when it wears out on a perpetual basis.

Calculate the EAC for machine A. (Round answer to 2 decimal places. Do not round intermediate calculations)