4. Asset Replacement Decision Jones Company owns a piece of equipment that cost $85,000. Currently, the equipment's book value is $40,000 and its expected remaining useful life is five years. The salvage value of the equipment in 5 years is expected to be $15,000. Jones has the opportunity to purchase for $95,000 replacement equipment that is extremely efficient. In five years, the new equipment would have a salvage value of $65,000. Maintenance cost for the old equipment is expected to be $7,500 per year and maintenance on the new equipment is expected to be $3,500 per year. The old equipment is paid for but, in spite of being in good condition, can be sold for only $32,600 currently, Should Jones replace the old equipment with the new efficient equipment, or should it continue to use the old equipment until it wears out? Include your calculations with your