White Oaks Properties builds strip shopping centers and small malls. The company plans toreplace its refrigeration, cooking, and HVAC equipment with newer models in one entirecenter built 8 years ago. 8years ago, the original purchase price of the equipment was $600,000 and the operating cost has averaged $210,000 per year. Determine the equivalentannual cost of the equipment if the company can now sell it for $244,000. The company'sMARR is 20% per year.

The equivalent annual cost of the equipment is determined to be $.