Question: Dragoo Building incorporated has a pump with a book value of $254.000 and a four-yeat remaining life. A new pump is available at a cout
Dragoo Building incorporated has a pump with a book value of $254.000 and a four-yeat remaining life. A new pump is available at a cout of 5629.000 Dragou can receive 549.400 for trading in the old pump. The old pump has variable costs of 5324,000 per year. The new pump will reduce variable costs by $147500 per year over its four year we. The total impact to Dragoo Building incorporated over the pump's four years Multiple Choice Increase of $500,000 O Decrease of $49.400 Increase of $10.400 Decrease of $10.400 Decrease of 5629 000
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