Jimbob Co. is considering replacing its existing fleet of trucks with new trucks. Estimates for the next three years are as follows:

	Old trucks	New trucks
Average annual sales	$500,000	$520,000
Annual operating costs	100,000	75,000
Original costs of old trucks	100,000	--
Remaining book value of old trucks	10,000	--
List price of new trucks	--	120,000
Remaining life	3 years	--
Expected life	--	3 years
Disposal value now	$10,000	---
Disposal value in 3 years	$ nil	$ nil

Required:

Based strictly on the financial information presented above, should the company replace the old trucks now? (Ignore time value of money).