$8.$ A construction company is evaluating whether it should retain the current cement mixing machine or replace it with a new one. The relevant information for each machine is shown. Use an interest rate of $\backslash (12\backslash \%\backslash )$ per year to perform the replacement study.

$\backslash$begin$\{$tabular$\}\{|$c$|$c$|$c$|\}$

$\backslash$hline Financial Information & Current & New $\backslash \backslash$

$\backslash$hline Original cost $6$ years ago $(\backslash$$$)$ & $450,000$ & $\backslash \backslash$

$\backslash$hline Investment cost now $(\backslash$$$)$ & & $600,000\backslash \backslash$

$\backslash$hline Current market value $(\backslash$$$)$ & $25,000$ & $\backslash \backslash$

$\backslash$hline Annual operating cost $(\backslash$$$/$year$)$ & $190,000$ & $70,000\backslash \backslash$

$\backslash$hline Remaining life, years & $3$ & $10\backslash \backslash$

$\backslash$hline Salvage value $(\backslash$$$)$ & $0$ & $50,000\backslash \backslash$

$\backslash$hline

$\backslash$end$\{$tabular$\}$

$2$