Problem 7 (10 points): Victoria, Inc., is considering replacing a machine. The following data are available: Replacement Old Machine Machine $90,000 $70,000 Original cost Useful life in years Current age in years Book value 10 0 Disposal value now Disposal value in 5 years Annual cash operating costs $50,000 $16,000 0 $14,000 0 $8,000 For each item above, indicate below whether it is a sunk cost (SC) irrelevant (0) or relevant (R) to the decision. Old Machine Replacement Machine Original cost Useful life in years Current age in years Book value Disposal value now Disposal value in 5 years Annual cash operating costs