In a decision to keep or replace existing equipment,________ is a false statement.
A)depreciation on the new equipment is relevant
B)the disposal value of the old equipment is irrelevant
C)the cost of the new equipment is relevant
D)the book value of the old equipment is irrelevant

Question

Quizplus · Accepted Answer

The disposal value of the old equipment is relevant in the decision-making process as it affects the overall cost of replacing the equipment. The other statements are true and relevant in the decision-making process.

In a Decision to Keep or Replace Existing Equipment,________ Is