Question: Express, Incorporated, is considering replacing equipment. The following data are available: Old Equipment Replacement Equipment Original cost $ 60,000 $ 49,000 Disposal value now $

Express, Incorporated, is considering replacing equipment. The following data are available:

	Old Equipment	Replacement Equipment
Original cost	$ 60,000	$ 49,000
Disposal value now	$ 9,000	$ 0
Disposal value in 5 years	$ 0	$ 0
Annual cash operating costs	$ 10,000	$ 9,000

What are the total relevant costs of keeping the old equipment?

[The following information applies to the questions displayed below.] The following information is from the manufacturing budget and budgeted financial statements of Altman Corp.: Direct materials inventory, 1/1 $ 85,000 Direct materials inventory, 12/31 $ 101,000 Direct materials budgeted for use during year $ 343,000 Accounts payable to suppliers, 1/1 $ 53,000 Accounts payable to suppliers, 12/31 $ 63,000 For the year, budgeted cash payments to suppliers amounted to:

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