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5. (20 pts) Consider the following data concerning the replacement of old equipment by new...

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Accounting

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5. (20 pts) Consider the following data concerning the replacement of old equipment by new equipment Proposed New Equipment Old Equipment $32,000 $13,200 0 0 Original cost Useful life in years 8 Current age in years Useful life remaining in years Accumulated depreciation Book value Disposal value (in cash) now Annual cash operating costs (maintenance, power, repairs, lubricants, etc.) Not acquired yet. $20,000 12,000 3,600 $11,400 $6,100 Prepare a cost comparison of all relevant items for the next 3 years together. Ignore taxes? B) Prepare a cost comparison that includes both relevant and irrelevant items.? C) Prepare a comparative statement of the total charges against revenue for the first year. Would the manager be inclined to buy the new equipment

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