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

The difference between keeping the old machine and replacing the old machine is ________.
A)$910,000 in favor of keeping the old machine
B)$198,000 in favor of keeping the old machine
C)$910,000 in favor of replacing the old machine
D)$198,000 in favor of replacing the old machine

Question

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

The difference between keeping the old machine and replacing the old machine is ________.
A)$910,000 in favor of keeping the old machine 
B)$198,000 in favor of keeping the old machine 
C)$910,000 in favor of replacing the old machine 
D)$198,000 in favor of replacing the old machine

Quizplus · Accepted Answer

New [$510,000 + (5 × $66,000)- $142,000] - Old [(5 × $100,000)] = $198,000