Calculate equivalent annual cost

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Reference no: EM131575481

Cat Bakers uses specialized ovens to bake its cookies. One oven costs $689,000 and last about 4 years before it needs to be replaced. The annual operating cost per oven is $41,000. Assuming a required rate of return of 13%, calculate the equivalent annual cost. (Round to a whole number, and enter a negative value to represent cost)

Reference no: EM131575481

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