Ashland Company has a machine that affixes labels to bottles. The machine has a book value of $60,000 and a remaining useful life of 4 years and no salvage value. A new, more efficient machine is available at a cost of $400,000 that will have a 5-year useful life with no salvage value. The new machine will lower annual variable production costs from $300,000 to $210,000. Instructions Prepare an analysis showing whether the old machine should be retained or replaced. Show your work. What should Ashland decide?