18 points Capital Budgeting Decision: "To Replace the Asset or Not to Replace the Asset- that is the Question!" The Taylor Corporation is using a machine that originally cost $60,000. The machine has a book value of $66,000 and a current market value of $40,000. The per year it will have no salvage value after 5 years and the company tax rate in 35 percent is in the Class 5 CCA po 30% Jacques Detaille, the Chief Financial Officer of Taylor, is considering replacing this machine with a newer model costing $20,000. The new machine will out operating costs by 31.000 each year for the next year and will have a salvage value in year five of $5,000 Taylor Corporation's cost of capital is 8 percent Should the firm replace the asset? What is your advice to Jacques? Use NPV methodology to solve this problem. You must show all your work including formulas, values, financial citater functi keys and inputs (if using one), and all assumptions as appropriate to answering the question. For the toolbar, press ALT-F10 (PC) or ALT-FN+F10 (Mac) B 1 D S Paragraph xx 88. Arial 10pt 11 E