A commercial oven with a book value of $26,460 has an estimated remaining 5 year life. A proposal is offered to sell the oven for $8,270 and replace it with a new oven costing $47,270. The new machine has a 5year life with no residual value. The new machine would reduce annual maintenance costs by $9,090. ' \\ Provide a differential analysis on the proposal to replace the commercial oven. Annual maintenance COS! reduction Number of years applicable E Total differential decrease in cost E Proceeds from sale of equipment E ' 4:] Cost of new equipment E 4:] Net differential decrease in cost from replacing equipment