A testing lab owns a hydraulic load body, which was bought for $35,00zero early within the labâs fiscal 12 months four years in the past. The inner bookkeeping makes use of a sum of the yearâs digits depreciation technique assuming a lifetime of 12 years and nil salvage worth. For tax functions, it’s being depreciated with a 25% Capital Price Allowance. The labâs MARR is 10%. The fiscal 12 months is identical because the calendar 12 months.The prevailing body has no worth on the second hand market. The working and upkeep prices for this body have remained fixed, and can stay fixed, at $6500.00 per 12 months.There’s a new load body available on the market, which sells for $40,00zero.00, and its working and upkeep prices are estimated to be $three,00zero within the first 12 months, growing by 15% per 12 months.This new body does have a second hand worth estimated to say no 50% from the unique buy worth within the first 12 months, an extra 30% within the second 12 months and subsequently stage off at $12000.00 for the foreseeable future.(a) What was the interior depreciation cost that was made final 12 months?(b) What is going to the Undepreciated Capital Price of the load body be on the finish of this fiscal 12 months?(c) If the body is in truth bought for $5,00zero this 12 months what ultimate entry have to be made on this yearâs tax submitting?(d) What’s the financial lifetime of the brand new machine? Present all calculations or embody a duplicate of your excelspreadsheet.(e) Ought to the prevailing body get replaced with the brand new mannequin (now)? Justify your reply.