You are operating an old machine that is expected to produce a cash inflow of $$5,000$ in each of the next $3$ years before it fails. You can replace it now with a new machine that costs $$20,000$ but is much more efficient and will provide a cash flow of $$10,000$ a year for $4$ years.

Calculate the equivalent annual cost of the new machine if the discount rate is $15\%.$

Note: Do not round intermediate calculations. Round your answer to $2$ decimal places.

Answer is complete but not entirely correct.

Equivalent annual cost of the purchase price

$$,14,386\mathrm{.}07$

Should you replace your equipment now?

Yes

No $\frac{O}{?}$