XYZ Co. plans on replacing its old equipment, which originally cost $120,000. This equipment has a book value of $60,000 and a market value of $29,000. It has a remaining useful life of 4 years and a zero salvage value. The new equipment has a purchase price of $54,000. It is expected to have a useful life of 4 years and a salvage value of $4,000. Operating expenses for the old machine and new machine are $9,000 and $5,000 per year, respectively. If the old machine is replaced profitability will

	A.	increase by $5,000 over the next four years
	B.	decrease by $5,000 over the next four years
	C.	increase by $9,000 over the next four years
	D.	decrease by $9,000 over the next four years
	E.	not be affected.