Hinkle Manufacturing bought a $145,000 piece of equipment 2 years ago; its present five year straight-line depreciated value is $87,000. Because of substantial increases in the demand for used equipment, it can be sold today for $125,000 (before taxes). If kept, however, it will last 5 more years and produce expected cash flows, CFBTs, of $13,000 for each of 5 years. A replacement machine costs $180,000, and it is expected to produce CFBTs of $28,000 for each of 5 years. Assume neither machine has any resale value in 5 years. If the marginal tax rate is 34 percent and the discount rate is 10 percent, should the equipment be replaced, assuming straight-line depreciation is employed for both pieces of equipment?