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OConnor Fropoin Foods purchased new computer-controllod production machinery last yoar from Advancod Enterprise. 6 (Click the icon to view additional information.) For each of the

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OConnor Fropoin Foods purchased new computer-controllod production machinery last yoar from Advancod Enterprise. 6 (Click the icon to view additional information.) For each of the following costs, indicate whether or not each of the costs described would be relevant to O'Connor Frozen Foods' decision about whether to purchase More info The equipment was purchased for $4.1 million and was paid for with cash. A representative from Advanced Enterprise recently contacted O'Connor management because Advanced Enterprise has an even more efficient piece of machinery available. The new design would double the production output of the equipment purchased last year but would cost OConnor another $5.0 million. The old machinery was installed by an engineering firm; the same firm would be required to install the new machinery. Fixed selling costs would not change if the new machinery were to be purchased, but the variable selling cost per unit would decrease. Raw material costs (i.e., food ingredients) would remain the same with either machine. The new machinery would be purchased by signing a note payable at the bank and interest would be paid monthly on the note payable. Maintenance costs on the new machine would be the same as the maintenance costs on the machinery purchased last year. Advanced Enterprise is offering a trade-in on the nachinery purchased last year against the purchase price of the new machinery

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