URGENT

A high-speed electronic assembly machine was purchased two years ago for $50,000. At the present time, it can be sold for $23,000 and replaced by a newer model having a purchase price of $44,000, or it can be kept in service for a maximum of one more year. The new assembly machine, if purchased, has a useful life of not more than two years. If the before-tax MARR is 20%, when should the old assembly machine be replaced? Use the following data table for your analysis Year 0 1 2 Challenger Market Value O&M Costs $44000 30,000 $9,500 23,000 12.000 Defender Market Value O&M Costs $23,000 16,500 $14,000 Click the icon to view the interest and annuity table for discrete compounding when the MARR is 20% per year The minimum EUAC value of the challenger is 5 (Round to the nearest dollar) The marginal cost of keeping the defender in service for one more year is $(Round to the nearest dollar) The old assembly machine should be replaced