Prepare differential analysis

Machlne Replecement Decieion A company is considering replacing an old plece of machinery, which cost $599,000 and has $350,900 of accumulated depreciation to dste, with b new machine that has a purchese price of s464,400. The old machine could be sold foe 561,200. The annuar variable production costs associated with the old machine are estimated to be $156,400 per year for 5 yeari. The annual variable preduction costa. for the new mechine are estimated to be $98,600 per year for 8 years. a.1 Prepare a differentiol analysis doted December 10 to determine whether to continue with (Aiternative 1) or replace (Aiternative 2) the old machine. If an amount is zero, enter "O", If required, use a minus sign to indicate a loss. Differential Analysis Continue with (Alt. 1) or Replace (AIt. 2) otd Machine a.2 Determine whether to continue with (Alternative 1) or replace (Atemative 2) the old machine. b. Whot is the sunk cost in this situation? The sunk cost is 1