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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 five

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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 five years, at which time its salvage value will be zero. It has a current market value of $48,000 Vanable manufacturing costs are $33,700 per year for this machine Information on two alternative replacement machines follows. Alternative Alternative $121,000 $113,000 Variable manufacturing costs per year 22,400 11,000 Cost 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. Alterative A Alternative B Xinhong Purchase Calculate the total change in net income f Alternative A is adopted. (Cash outflows should be indicated by a minus sign) ALTERNATIVE A: INCREASE OR (DECREASE) IN NET INCOME Cost to buy new machine Cash received to trade in old machine Reduction in varable manufacturing costs Total change in net income Alam Alternative > Xintong Company is considering replacing one of its manufacturing machines. The machine has a book value of $38,000 and a remaining useful life of five years, at which time its salvage value will be zero. It has a current market value of $18,000 Variable manufacturing costs are $33,700 per year for this machine Information on two alternative replacement machines follows Alternative Alternative Cost $121,000 5113,000 Variable manufacturing costs per year 22,400 11,000 Calculate the total change in net income f 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 Alternative Xinhong Purchase Calculate the total change in net income of Alternative B is adopted. (Cash outflows should be indicated by a sign) ALTERNATIVE INCREASE OR DECREASE IN NETINCOME Cost to buy new machine Cash receives to trade in old machine Reduction in variable facturing costs Total Change in net income o 9 $ . De here to search 144 8 . 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 five years at which time its salvage value will be zero it has a current market value of $48.000 Variable manufacturing costs are $33700 per year for this machine. Information on two alternative replacement machines follows Alternative A Alternative Cost $121,000 $113,000 Variable manufacturing costs per year 22,400 11,000 Calculate the total change in net income i 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 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? (Alte Alternative Alternative Keep the manufacturing machine 9 $ O pe here to search

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