Your firm has decided to test the use of EVs as upscale taxis. You are choosing between an Audi and a Polestar.

The Audi has an initial cost of $$65,000$ and an expected life of five years. It will be depreciated straight$-$line over its expected life. The income expected from the Audi is $$48,000$ per year and maintenance and electricity are expected to run $$22,000.$ The Audi is expected to be worth $$10,000$ at the end of its very busy life.

The Polestar has an initial cost of $$75,000$ and an expected life of $4$ years. It will be depreciated straight$-$line over its expected life. The Polestar is expected to generate revenue of $$52,000$ per year and have associated expenses of $$26,000.$ It is expected to be worth $$8,000$ at the end of its $4-$year life.

Your marginal tax rate is $35\%$ and your required rate of return for this test run is $10\%.$ What is the EAA of the Audi?