A firm is deciding when to replace its old machine. The old machines current aftermarket value is $1.9 million. Its book value is $1.26 million. If not replaced now, the old machine will require operating costs of $511,000 each year. Depreciation on the old machine is $252,000 per year. At the end of its remaining useful life of five years, the old machine will have an aftermarket sale value of $212,000. A new machine costs $2.95 million now and requires operating costs of only $344,000 each year during its life of five years. At the end of the five years, the new machine will have a scrap value of $508,000. If acquired now, the new machine will be fully depreciated using the straight-line method. In five years a new machine will cost $3.5 million. The firm will need to purchase a new machine regardless of what choice it makes today. The tax rate is 21% and the discount rate is 10%. If the timing of the machine replacement will not have any impact on revenues and net working capital levels, should the firm replace the old machine now or after five years?