00 Baird Company is considering the replacement of some of its manufacturing equipment. Information regarding the existing equipment and the potential replacement equipment follows Existing quipment Replacement quint Cost $116,000 Cost $109,000 Operating expenses 111,000 Operating expenses 113.000 Salvage value 26.000 Salvage value 20.000 Market value 55.000 Useful life 7 years Dook value 33,000 Remaining seal life 7 years 8 Doints *The amounts shown for operating expenses are the cumulative total of all such expected expenses to be incurred over the useful for of the equipment Reference Required Calculate the total relevant cost of existing equipment and the potential replacement equipment. Should the equipment be replaced? Old New Total cost Should the equipment be replaced