Lopez Company is considering replacing one of its old manufacturing machines. The old machine has a book value of $46,000 and a remaining useful life of five years. It can be sold now for $56,000. Variable manufacturing costs are $46,000 per year for this old machine. Information on two alternative replacement machines follows. The expected useful life of each replacement machine is five years. Machine A Purchase price Variable manufacturing costs per year $ 120,000 19,000 Machine B $ 134,000 13,000 (a) Compute the income increase or decrease from replacing the old machine with Machine A. (b) Compute the income increase or decrease from replacing the old machine with Machine B. (c) Should Lopez keep or replace its old machine? (d) if the machine should be replaced, which new machine should Lopez purchase? Complete this question by entering your answers in the tabs below. Req A Req B Req C and D Compute the income increase or decrease from replacing the old machine with Machine A. (Amounts to be deducted should be indicated with a minus sign.) Machine A: Keep or Replace Analysis Keep Replace Income Increa (Decrease) from Replacing Revenues Sale of existing machine Skull Company makes snowboards and uses the total cost method in setting product price. Its costs for producing 16,000 units follow. The company targets a 15.0% markup on total cost. Variable Coats per Unit Direct materials $ 112 Direct labor 37 Overhead 32 Selling, general and administrative 7 Fixed Costs (total) Overhead $ 482,000 Selling, general and administrative 446,000 1. Compute the total cost per unit if 16,000 units are produced. 2. Compute the dollar markup per unit. 3. Compute the selling price per unit. (For all requirements, round your final answers to the nearest dollar amounts.) 1. Total cost per unit 2. Markup per unit 3. Selling price per unit