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sidering the replacement of a piece of equipment with a newer model. The following data has been collected: Old Equipment New Equipment Purchase price $252000

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sidering the replacement of a piece of equipment with a newer model. The following data has been collected: Old Equipment New Equipment Purchase price $252000 $416000 Accumulated 100800 depreciation -0- Annual operating costs 341000 288000 If the old equipment is replaced now, it can be sold for $95400. Both the old equipment's remaining useful life and the new equipment's useful life is 5 years. What is the net cost of the new equipment? $416000 $89000 O $320600 $164000

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