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Brio Company Is Considering Eliminating a Product Line

Question 100

Multiple Choice

Brio Company is considering eliminating a product line.If it eliminates the product,equipment,which originally cost $250,000,will be disposed of for $6,000.The equipment has a book value of $75,000 and annual depreciation of $25,000.Ignoring income tax,what is the relevant amount for the product-elimination decision?


A) $250,000
B) $75,000
C) $25,000
D) $6,000

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