A company's management team is considering replacing an old machine. It estimates that by keeping the old machine, the related operating costs will be $1,550,000 but will drop to $1,110,000 a year if the old machine is replaced with a new one. The disposal value of the old machine is $110,000, which is $10,000 below its book value ($10,000 loss on disposal.) The new machine will cost $480,000. Ignoring tax implications of a replacement, which of the followings statements is correct? A. The relevant cost savings is $60,000. B. The $10,000 loss on disposal is relevant. C. The difference in total costs between the two alternatives is $70,000 D. Without consideration of nonfinancial factors, the old machine should be kept