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Business, 19.12.2019 04:31 makayladurham19

Isooky has a spotter truck with a book value of $40,000 and a remaining useful life of five years. at the end of the five years the spotter truck will have a zero salvage value. the market value of the spotter truck is currently $32,000. isooky can purchase a new spotter truck for $120,000 and receive $31,000 in return for trading in its old spotter truck. the new spotter truck will reduce variable manufacturing costs by $25,000 per year over the five-year life of the new spotter truck. the costs not relevant to the decision of whether or not to replace the spotter truck are: a) $31,000b) $25,000c) $125,000d) $120,000e) $40, 000

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Isooky has a spotter truck with a book value of $40,000 and a remaining useful life of five years. a...
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