Baird Freight Company owns a truck that cost $45,000. Currently, the truck's book value is $22,000, and its expected remaining useful life is five years. Baird has the opportunity to purchase for $31,400 a replacement truck that is extremely fuel efficient. Fuel cost for the old truck is expected to be $5,900 per year more than fuel cost for the new truck. The old truck is paid for but, in spite of being in good condition, can be sold for only $11,000. Required Calculate the total relevant costs. Should Baird replace the old truck with the new fuel-efficient model, or should it continue to use the old truck until it wears out? A machine purchased three years ago for $317,000 has a current book value using straight-line depreciation of $180,000; its operating expenses are $31,000 per year. A replacement machine would cost $231,000, have a useful life of eleven years, and would require $12,000 per year in operating expenses. It has an expected salvage value of $65,000 after eleven years. The current disposal value of the old machine is $77,000; if it is kept 11 more years, its residual value would be $17,000. Required Calculate the total costs in keeping the old machine and purchase a new machine. Should the old machine be replaced? Baird Freight Company owns a truck that cost $45,000. Currently, the truck's book value is $22,000, and its expected remaining useful life is five years. Baird has the opportunity to purchase for $31,400 a replacement truck that is extremely fuel efficient. Fuel cost for the old truck is expected to be $5,900 per year more than fuel cost for the new truck. The old truck is paid for but, in spite of being in good condition, can be sold for only $11,000. Required Calculate the total relevant costs. Should Baird replace the old truck with the new fuel-efficient model, or should it continue to use the old truck until it wears out? A machine purchased three years ago for $317,000 has a current book value using straight-line depreciation of $180,000; its operating expenses are $31,000 per year. A replacement machine would cost $231,000, have a useful life of eleven years, and would require $12,000 per year in operating expenses. It has an expected salvage value of $65,000 after eleven years. The current disposal value of the old machine is $77,000; if it is kept 11 more years, its residual value would be $17,000. Required Calculate the total costs in keeping the old machine and purchase a new machine. Should the old machine be replaced