(7) Jorgensen Company is considering the replacement of equipment used in operations. The following data are available: New Equipment $40,000 Old Equipment Original cost $210,000 Useful life in years Current age in years Book value $65,000 Disposal value now $30,000 Disposal value in 7 years Annual cash operating costs $9,000 $8,000 (7) Jorgensen Company is considering the replacement of equipment used in operations. The following data are available: New Equipment $40,000 Old Equipment Original cost $210,000 Useful life in years 12 Current age in years Book value $65,000 Disposal value now $30,000 Disposal value in 7 years Annual cash operating costs $9,000 $8,000 Required: A) Prepare a cost comparison for replacing the old equipment. Use only relevant items and add the items together for the next 7 years. 2pt each, max 12pts B) Should the old equipment be replaced, Yes or No?: (8) Sealy Company has a joint process, whic "pany has a joint process, which produces three products called A B and C. Each product may be sold at split-off or processed further and then sold. Joint processing costs for a year are $20,000. Other relevant data are: Product Sales Value at Split-Off $94,000 60,000 66,000 Separable Processing Costs After Split-Off $28,000 10,000 14,000 MO Sales Value at Completion $115,000 82,000 79,000 Required: A) Which product(s) should be processed further? Show calculation. Apt! B) If the Sealy Company maximizes profits, what is the operating income? 2pt each @12pt