If a new SMP machine (challenger) is acquired, the defender will have a market value of $50,000. The new SMP machine will cost $500,000 and will have annual operating and maintenance costs of $10,000 the first year, increasing by $5,000 a year thereafter. After 5 years, the challenger will have a market value of $200,000. Based on a Before-tax minimum attractive rate of return of 16.67% and a 5-year planning horizon should the defender be replaced?