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You are evaluating two different silicon wafer milling machines. The Techron I costs $243,000, has a three-year life, and has pretax operating costs of $64,000

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You are evaluating two different silicon wafer milling machines. The Techron I costs $243,000, has a three-year life, and has pretax operating costs of $64,000 per year. The Techron Il costs $425,000, has a five-year life, and has pretax operating costs of $37,000 per year. For both milling machines, use straight-line depreciation to zero over the project's life and assume a salvage value of $41,000. If your tax rate is 21 percent and your discount rate is 9 percent, compute the EAC for both machines. (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., 32.16.) Techron Techron 11 Which machine should you choose? Techron Techron 11

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