Waukee Railroad is considering the purchase of a powerful, high-speed wheel grinder to replace a standard wheel grinder now in use. Selected information on the two machines follows:

	Standard Wheel Grinder		High-Speed Wheel Grinder
Original cost new	$	45,000	$	62,500
Accumulated depreciation to date	$	18,000	$	0
Current salvage value	$	21,750	$	0
Estimated cost per year to operate	$	26,250	$	12,250
Remaining years of useful life		5 years		5 years

Required:

Compute the net advantage or disadvantage of purchasing the high-speed wheel grinder covering the five-year period. Use only relevant costs in your analysis.