Freestone Company Is Considering Renting Machine Y to Replace Machine

Multiple Choice

Freestone Company is considering renting Machine Y to replace Machine X.It is expected that Y will waste less direct materials than does X.If Y is rented,X will be sold on the open market.For this decision,which of the following factors is (are) relevant?
I.Cost of direct materials used
II.Resale value of Machine X

A) Only I
B) Only II
C) Both I and II
D) Neither I nor II