Marginal cost-benefit analysis and the goal of the firmKen Allen, capital budgeting analyst for Bally Gears, Inc., has been asked to evaluate a proposal. The manager of the automotive division believes that replacing the robotics used on the heavy truck gear line will produce total benefits of $512,000 (in today's dollars) over the next 5 years. The existing robotics would produce benefits of $416,000 (also in today's dollars) over that same time period. An initial cash investment of $204,800 would be required to install the new equipment. The manager estimates that the existing robotics can be sold for $66,000. Show how Ken will apply marginal cost-benefit analysis techniques to determine the following: