The management of Ballard MicroBrew is considering the purchase of an automated bottling machine for would replace an old plece of equipment that costs $17000 per year to operate The new machine would cost $7000 per year to operate. The old machine currently in use is fully depreciated and could be sold now t would have a useful life of 10 years with no salvage value. or a salvage value of $23,000. The new machine Required: 1. What is the annual depreciation expense associated with the new botting machine? 2 What is the annual incremental net operating income provided by the new bottling machine? 3. What is the amount of the initial investment associated with this project that should be used for calculating the simple rate of return? 4 What is the simple rate of return on the new bottling machine? (Round your answer to 1 considered as 12.3%.) decimal place i.e. 0123 should be 1 Depreciation expenise 2 Incremental net operating income 3 Initial investment 4 Simple rate of return