A company owns a 6-year-old gear hobber that has a book value of $60,000. The present market

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A company owns a 6-year-old gear hobber that has a

book value of $60,000. The present market value of

the hobber is $80,000. A new gear hobber can be

purchased for $450,000. Using an outsider’s point of

view, what is the net first cost of purchasing the new

gear hobber?

a. $310,000

b. $370,000

c. $390,000

d. $450,000

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Principles Of Engineering Economic Analysis

ISBN: 9781118163832

6th Edition

Authors: John A. White, Kenneth E. Case, David B. Pratt

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