additioal $5$ Lopez Company is considering replacing one of its old manufacturing machines. The old machine has a book value of $$50,000$ and a

remaining useful iffe of five years. It can be sold now for $$60,000$ vartable manufacturing cosns are $$48,000$ per year for this old

machine. Information on two aiternative repiacement machines follows. The expected useful ife of each replacement machine is five

years.

Req A

Req B

Req $C$ and $D$

Compute the income increase or decrease from replacing the old machine with Machine $B.$

Note: Amounts to be deducted should be indicated with a minus sign.