International Company is considering replacing an old stamping machine with a newer and more efficient model. The old machine had an accounting book value of $12,000 and a projected life of 10 years when it was purchased 5 years ago. The machine has recently begun causing problems with breakdowns and is costing the company $1,000 per year in maintenance expenses. The company has been offered $5,000 for the old machine as a trade-in on a newer model which has a sticker price (before allowance for trade-in) of $11,000. The new machine has a projected life of 5 years and it is projected to have a cost savings in production materials of $4,000 per year relative to the old machine. Maintenance