You are evaluating two different silicon wafer milling machines. The Techron I costs $$261,000,$ has a three$-$year life, and has pretax operating costs of $$70,000$ per year. The Techron II costs $$455,000,$ has a five$-$year life, and has pretax operating costs of $$43,000$ per year. For both milling machines, use straight$-$line depreciation to zero over the project$$s life and assume a salvage value of $$47,000.$ If your tax rate is $22$ percent and your discount rate is $9$ percent, compute the EAC for both machines.

Note: Your answer should be a negative value and indicated by a minus sign. Do not round intermediate calculations and round your answers to $2$ decimal places, e$.$g$.,32\mathrm{.}16.$

Which machine should you choose?

multiple choice

Techron II

Techron I