The SAB Company is considering the purchase of a new machine at a cost of $ 14,000 to replace an older one whose book value for tax purposes is $ 3,000 and can be sold now for $ 1,500. In four years, the residual value of the old machine should match its book value (its UCC). The CCA rate equals 55%. The new machine will produce labour savings of $ 5,000 before taxes, have a useful life of four years and can be sold for $ 2,000 by the end of the fourth year. The tax rate is 19%, and the discount rate is 16% for such a project. Question Should we replace the machine, according to the following assumptions? Note: The asset class of the old machine is closed, and the new machine will be in a new asset class at the CCA rate of 60% (the disposal of the new machine at the end of the project will not result in the closure of this class)