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When Deciding to Lease a New Cutting Machine or Continue

Question 189

Multiple Choice

When deciding to lease a new cutting machine or continue using the old machine,the following costs are relevant EXCEPT the:


A) $10 000 selling price of the old machine.
B) $20 000 cost of the new machine.
C) $3000 annual savings in operating costs if the new machine is purchased.
D) $50 000 cost of the old machine.

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