Question: Multiple Choice Question 149 Bramble Corp. is contemplating the replacement of an old machine with a new one. The following information has been gathered: New

 Multiple Choice Question 149 Bramble Corp. is contemplating the replacement of

Multiple Choice Question 149 Bramble Corp. is contemplating the replacement of an old machine with a new one. The following information has been gathered: New Machine $560000 Old Machine Price $280000 Accumulated Depreciation 84000 Remaining useful life Useful life -0- Annual operating costs $225000 -0- 10 years -0- 10 years $168000 If the old machine is replaced, it can be sold for $22400. The company uses straight-line depreciation with a zero salvage value for all of its assets. The net advantage (disadvantage) of replacing the old machine is O $(56000) O $16800 $(5600) O $22500 Click if you would like to Show Work for this question: Open Show Work

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