23 Speed Runner Company has acquired huge machinery at a cost of $150,000 (with no breakdown of the component parts). The estimated useful life is 8 years. At the end of the fifth year, the main engine requires replacement, the remainder of the machinery is perfectly roadworthy and is expected to last for the next three years. The cost of a new engine is $85,000 with discounted amount of $74,700 (discounted back seven years with rate 6%) * Required: Compute the cost of the machinery