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View Policies Current Attempt in Progress Johnson Enterprises uses a computer to handle Its sales invoices. Lately, business has been so good that it takes

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View Policies Current Attempt in Progress Johnson Enterprises uses a computer to handle Its sales invoices. Lately, business has been so good that it takes an extra 3 hours per night, plus everythird Saturday, to keep up with the volume of sales Invoices. Management is considering updating its computer with a faster model that would eliminate all of the overtime processing Current Machine New Machine Original purchase cost $15.200 $24.900 Accumulated depreciation $5.900 $24.900 $19,900 Estimated annual operating costs Remaining useful life 5 years 5 years If sold now, the current machine would have a salvage value of $10,700. If operated for the remainder of its useful life, the current machine would have zero salvage value. The new machine is expected to have zero salvage value after 5 years. Prepare an incremental analysis to determine whether the current machine 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 Enternative amounts using either a negatives preceding the numberes -15 or parentheses 1451 Net Income MacBook Air % 5 & 7 B 9 0 4. 6. 3 N 0 P Y E 70 T E Q tab G H JK F OD D S > It sold now, the current machine would have a salvage value of $10.700. If operated for the remainder of its useful life, the current machine would have zero salvage value. The new machine is expected to have zero salvage value after 5 years. Prepare an incremental analysis to determine whether the current machine should be replaced. (In the first two columns, enter costs and expenses as positive amounts, and any amounts received as negotive amounts. In the third column, enter net income increases as positive amounts and decreases as negative amounts. Enter negative amounts using either a nepotive sin preceding the numberes 45 or parentheses 4. (450 Retain Replace Machine Net Income Increase (Decrease) Machine Operating costs $ New machine cost Salvage value (old) $ Total $ The current machine should be Attempts of I used Save for Later Crew Assignment sent to Gradebook Your grade is being recorded Wed Jul. 2000, 6:24 30 PM America/New York-04:00) MacBook 7

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