Problem 20-04A a-c (Video) At the beginning of last year (2019), Cullumber Condos installed a mechanized elevator for its tenants. The owner of the company, Ron Clumber, recently returned from an industry equipment exhibition where he watched a computerized elevator demonstrated. He was impressed with the elevator's speed, comfort of de, and cost efficiency. Upon returning from the exhibition, he asked his purchasing agent to collect price and operating cost data on the new elevator. In addition, he asked the company's accountant to provide him with cost data on the company's elevator. This information is presented below Old Elevator $103,500 New Elevator $159.000 4 years 5 years Straight-line Purchase price Estimated salvage value Estimated useful se Depreciation method Annual operating costs other than depreciation: Variable Fixed Straight line $34,000 23.900 $11,000 0,200 which elevatore . If the old elevator replaced now at the Annual revenues are 5241,000, and selling and d istrative expenses are 10,000, regarde beginning of 2020, uber Condos will be able to set it for $25.000 Determine any gain or loss if the old elevator is replaced DIOR PRINIER VERSION BACK NEXT Prepare a 4-year summarized income statement for each of the following assumptions: (1) The old elevator is retained. Retain Old Elevator Revenues Less costs: Variable costs Fixed costs Selling & administrative Depreciation Net income (2) The old elevator is replaced Replace Old Elevator Revenues Les coste: Variable costs CALCULATOR PRINTER VERSION BACK Variable costs Foxed costs Selling & administrative Depreciation Operating income Loss on old elevator Net Income LINK TO TEXT VIDEO SIRTLAR PROBLEM Using incremental analysis, determine if the old elevator should be replaced in the first two columns, enter costs and expenses as positive amounts, and any amounts received as negative amounts. In the third column, eviter net income increases as positive amounts and decreases as negative amounts. Enter negative amounts using either a negative sin preceding the number -15 or parentheses (15)) Net Income Increase (Decrease) Replace Old Elevator Old Elevator Variable operating couts Using incremental analysis, determine if the old elevator should be replaced. (In the first two columns, enter costs and expenses as positive amounts, and any amounts received as negative amounts. In the third column, enter net income increases as positive amounts and decreases as negative amounts. Enter negative amounts using either a negative sin preceding the number .. 15 or parentheses e.g. (15)) Retain Old Elevator Replace Old Elevator Net Income Increase (Decrease) Variable operating costs Fixed operating costs New elevator cost Salvage on old elevator Totals The old elevator be replaced Click if you would like to show Work for this question t o