Identifying relevant information: Buddy's, Inc., currently has a machine that costs $10,000 per year to operate. The machine can produce 50,000 units per year. Three years ago the company borrowed $200,000 to purchase the machine; it still owes $125,000 of that amount. Buddy's could sell the machine for $70,000 and purchase a new, more efficient machine at a cost of $220,000. The new machine can produce 85,000 units per year; its annual operating costs would be $12,000.

In this discussion, consider each piece of information in this scenario. Which is relevant or irrelevant to the decision to purchase the new machine?

PICK ONE piece of information and post whether the information is relevant, or irrelevant, to the purchase of the new machine. Also, include in your post why it is relevant or irrelevant.