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CALCULATOR PRIN Multiple Choice Question 149 Marigold Corp. is contemplating the replacement of an old machine with a new one
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Answer #1

Answer :- Calculation of net advantage (disadvantage) of replacing the old machine :-

Advantage ( Disadvantage) =( $227,200 - $167,200)*10 - ( $584,000 - $24,000)

Advantage( Disadvantage) = $600,000 - $560,000

Advantage = $40,000

Therefore the correct answer is option D. ( $40,000)

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