$8$

Lopez Company is considering replacing one of its old manufacturing machines. The old machine has a book value of $$47,000$ and a remaining useful life of five years. It can be sold now for $$57,000.$ Variable manufacturing costs are $$47,000$ per year for this old machine. Information on two alternative replacement machines follows. The expected useful life of each replacement machine is five years.

$12\mathrm{.}5$

points

$\backslash$table$[[,$Machine A$,$Machine B$],[$Purchase price,$$120,000,$$$134,000$