Xinhong Company is considering replacing one of its manufacturing machines. The machine has a book value of $38.000 and a remaining useful life of 5 years, at which time its salvage value will be zero. It has a current market value of $48.000 Variable manufacturing costs are $33,900 per year for this machine Information on two alternative replacement machines follows Cost Variable snufacturing costs per year Ascere 6110,000 22.900 Alternative $112.000 10.600 Calculate the total change in net income if Alternative A, B is adopted Should Xinhong keep or replace its manufacturing machine? the machine should be replaced, which alternative new machine should Xinhong purchase Complete this question by entering your answers in the tabs below. Alternative A Alternative Xinhong Purchase Cakulate the total change in net income if Alternative An adopted. (cash outflows should be widicated by a minus sion) ALTERNATIVE A:CREASE OR (DECREASE) IN NET DICON Cost to buy new machine Cash received to trade in old machine Reduction in variable manufacturing costs Total change in net income Alternative > Xinhong Company is considering replacing one of its manufacturing machines. The machine has a book value of $38,000 and a remaining useful life of 5 years, at which time its salvage value will be zero. It has a current market value of $48,000. Variable manufacturing costs are $33,900 per year for this machine Information on two alternative replacement machines follows Coat Variable manufacturing coats per year Alternative A 4110,000 22,900 Alternative $112,000 10.600 Calculate the total change in net income if Alternative A, B is adopted. Should Xinhong keep or replace its manufacturing machine the machine should be replaced, which alternative new machine should Xinhong purchase? Complete this question by entering your answers in the tabs below. Alternative A Alternative B Xinhong Purchase Calculate the total change in net income if Alternative D is adopted. (Cash outflows should be indicated by a minus sign.) ALTERNATIVE B: INCREASE OR (DECREASEN NET COME Cost to buy new machine Cash received to trade in old machine Reduction in variable manufacturing costs Total change in net income Alternative A Xinhong Purchase > Xinhong Company is considering replacing one of its manufacturing machines. The machine has a book value of $38,000 and a remaining useful life of 5 years, at which time its salvage value will be zero. It has a current market value of $48,000. Variable manufacturing costs are $33,900 per year for this machine. Information on two alternative replacement machines follows. Alternative A Alternative B Coat $118.000 6112,000 Variable manufacturing coata per year 22,900 10,600 Calculate the total change in net income if Alternative A, B is adopted. Should Xinhong keep or replace its manufacturing machine? If the machine should be replaced, which alternative new machine should Xinhong purchase? Complete this question by entering your answers in the tabs below. Xinhong Alternative A Alternative B Purchase Should Xinhong keep or replace its manufacturing machine? If the machine should be replaced, which alternative new machine should Xinhong purchase? Which option should Xinhong choose?
