Question: Cost to replace old machine I can't figure out the annual differential decrease in cost or Total differential decrease in cost. Can you help me?

Cost to replace old machine

I can't figure out the annual differential decrease in cost or Total differential decrease in cost. Can you help me?

Keep or Replace Machine: Skiles Coporation is a manufacturer of classic rocking chairs. The company has been using a particular sanding and finishing machine for over 10 years and believes that it may be time to replace the machine. The company is trying to decide whether replacing the old machine is a wise economic decision. The company's controller pulled together the following information on the old machine and the new possible replacement machine. Old Machine: Original cost $443,700 Current accumulated depreciation 327,100 Estimated annual variable manufacturing costs for machine 70,000 Estimated selling price of machine 197,200 Estimated remaining useful life (in years) 6 New Machine: Purchase cost $783,400 Estimated annual variable manufacturing costs for machine 45,050 Estimated residual value 0 Check My Work Previous All work saved. Email Instructor Save and Exit Submit Assignment for Gradi

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