4.) differential analysis for machine replacement proposal Flint Tooling Company is considering replacing a machine that has been used in its factory for two years. Relevant data associated with the operations of the old machine and the new machine, neither of which has any estimated residual value, are as follows: Old Machine Cost of machine, eight-year life Annual depreciation (straight-line) Annual manufacturing costs, excluding depreciation Annual nonmanufacturing operating expenses Annual revenue Current estimated selling price of the machine $38,000 4,750 13,400 2,700 36,400 137300 New Machine Cost of machine, six-year life Annual depreciation (straight-line) $67,000 9,500 Chapter 10 & 11 Test Estimated annual manufacturing costs, exclusive of depreciation 4,400 Annual nonmanufacturing operating expenses and revenue are not expected to be affected by purchase of the new machine Prepare a differential analysis as of November 8 comparing operations using the present machine (Alternative 1) with operations using the new machine (Alternative 2) The analysis should indicate the differential profit that would result over the six-year period if the new machine is acquired