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Author Question: Planet Design Services, Inc., is considering replacing a machine. The following data are available: ... (Read 178 times)

shenderson6

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Planet Design Services, Inc., is considering replacing a machine. The following data are available:

Replacement
Old MachineMachine
Original cost$640,000$520,000
Useful life in years126
Current age in years60
Book value$400,000-
Disposal value now$162,000-
Disposal value in 6 years00
Annual cash operating costs$107,000$61,000

For the decision to keep the old machine, the relevant costs of keeping the old machine is ________.
◦ $492,000
◦ $642,000
◦ $804,000
◦ $107,000


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Marked as best answer by shenderson6 on Mar 6, 2021

snackralk

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shenderson6

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Reply 2 on: Mar 6, 2021
Gracias!


smrtceo

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Reply 3 on: Yesterday
Thanks for the timely response, appreciate it

 

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