AFB, Inc is considering replacing an old machine with a new one. Two months ago their chief
engineer completed a training seminar on the new machine's operation and efficiency. The $3,000
cost for this training session has already been paid.
If the new machine is purchased, it would
require $7,000 in installation and modification costs to make it suitable for operation in the factory.
The old machine originally cost $80,000 five years ago and is being depreciated by $10,000 per year.
The new machine will cost $100,000 before installation and modification. It will be depreciated by
$12,000 per year. The old machine can be sold today for $12,000. The marginal tax rate for the firm
is 40%. Compute the relevant initial outlay in this capital budgeting decision.
A) $97,800 B) $90,800 C) $79,500 D) $87,800
D
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Based on the research of Peterson and Hicks, which statement about the development planning process is most likely FALSE?
A. The second phase in development planning requires conducting a formal GAPS analysis. B. The last phase in development planning is transferring learning to new environments. C. The first phase in development planning involves identifying career goals. D. There are five interrelated phases in the development planning process.
In most cases, a PEO shares liability with its clients, which encourages the PEO to ensure that its clients comply with COBRA, Title VII, and OSHA
Indicate whether this statement is true or false.