Your company owns a compressor that cost $60 000 to purchase and $10 000 to install seven years ago. The market value now of the particular compressor is $33 000 and this will decline by 12% of current value each year for the next three years. Operating and maintenance costs are estimated to be $3400 this year, and are expected to increase by $500 per year. How much should the total EAC (Equivalent Annual Cost) of a new compressor be over its economic life to justify replacing the old one sometime in the next three years? The MARK, is 10%