A commercial oven with a book value of $42,880 has an estimated remaining 5 year life. A proposal is offered to sell the oven for $13,400 and replace it with a new oven costing $76,560. The new machine has a 5-year life with no residual value. The new machine would reduce annual maintenance costs by $14,720. Provide a differential analysis on the proposal to replace the commercial oven. Annual maintenance cost reduction $ Number of years applicable Total differential decrease in cost $ Proceeds from sale of equipment $ Cost of new equipment Net differential decrease in cost from replacing equipment $