An old machine that originally cost $9,500 thus far hastscumulated depreciation of $1,900. The remaining...
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Accounting
An old machine that originally cost $ thus far hastscumulated depreciation of $ The remaining useful life is four years, with no salvage value at the end of its useful life. A new machine is now available that costs $ with a useful life of five years and no residual value. The old machine could be sold now for $ The annual cash operating costs for the old machine are $ but for the new machine they would be only $ Gross revenue from the products would be $ annually for either machine. The company should
A keep the old machine to avoid a $ loss on its disposal.
B keep the old machine to avoid an $ decrease in cash.
C keep the old machine to avoid a $ loss on its disposal.
D replace the old machine.
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