Donnie is the owner of Delicious Inc., a pizzeria that operates on a university campus. Two years ago, Donnie purchased a convection oven for the establishment; however, he recently learned about a new oven that can cook pizza in less time and has lower operating expenses. Donnie is considering buying the new oven to place the existing one and has gathered the following information:

	Existing Oven	New Oven
Original cost	$90,000	$75,000
Accumulated depreciation	$7,500	-
Current salvage value	$60,000	-
Remaining useful life (in years)	5	5
Annual operating expenses	$15,000	$11,250
Disposal value in 5 years	$0	$0

Based on financial considerations along, should Donnie buy the new oven?

	No, it would cost an additional $3,750.
	Yes, it would result in savings of $3,750.
	Yes, it would result in savings of $4,250.
	No, it would cost an additional $4,250.
	None of those options are correct.