One of the employees of Davenport Corporation recently was involved in an accident with one of the corporation's delivery vans. The corporation is either going to repair the damaged van or sell it as is and buy a comparable used van. Information related to this decision is provided below: Based on the information above, Davenport would be financially better off:
A) $1,000 by buying the comparable van.
B) $2,000 by buying the comparable van.
C) $2,000 by repairing the damaged van.
D) $4,000 by repairing the damaged van.

Question

One of the employees of Davenport Corporation recently was involved in an accident with one of the corporation's delivery vans. The corporation is either going to repair the damaged van or sell it as is and buy a comparable used van. Information related to this decision is provided below:  Based on the information above, Davenport would be financially better off:
A) $1,000 by buying the comparable van. 
B) $2,000 by buying the comparable van. 
C) $2,000 by repairing the damaged van. 
D) $4,000 by repairing the damaged van.

Quizplus · Accepted Answer

Comparison of repairing the damaged van versus buying the replacement van:
 11eacbfc_c631_7b57_8ffe_ff2c8b3759dd_TB7552_00

One of the Employees of Davenport Corporation Recently Was Involved