Labels and Amount Descriptions Differential Analysis Final Question Instructions Lexigraphic Printing Company is considering replacing a machine that has been used in its factory for four years. Relevant data associated with the operations of the old machine and the new machine, neither of which has any estimated residual value, are as follows Old Machine 588,820 9,050 Cost of machine, 10-year life Annual depreciation (straight-line) Annual manufacturing costs, excluding depreciation Annual non-manufacturing operating expenses Annual revenue 23,470 6,020 74030 29 610 Current estimated selling price of machine lis $119,515 New Machine Purchase price of machine, six-year it Annual depreciation (straight-line) Estimated annual manufacturing costs, excluding depreciation 20.040 6 805 mptions Labels Cash flows from investing activities Costs Revenues Amount Descriptions Annual manufacturing costs (6 yrs.) Gain on sale of investments Loss on sale of investments Purchase price Proceeds from sale of old machine Income (loss) Differential Analysis Continue with (Alternative 1) or Replace (Alternative 2) Old Machine April 30 Continue with Replace Old Old Machine Machine (Alternative 1) (Alternative 2) Differential Effect on Income (Alternative 2) 2 (Label 5 Label 6