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0 Question 2 6 points Kinders Enterprises relies heavily on a copier machine to process its paperwork. Recently the copy clerk has not been able

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0 Question 2 6 points Kinders Enterprises relies heavily on a copier machine to process its paperwork. Recently the copy clerk has not been able to process all the necessary copies within the regular work week. Management is considering updating the copier machine with a faster model. Current Copier New Model Original purchase cost $0 $0 Accumulated depreciation Estimated operating costs (annual) Useful life, years If sold now, the current copier would have a salvage value of 50 If operated for the remainder of its useful life, the current machine would have zero salvage value. The new machine is expected to have zero salvage value after 2 years. Instructions 1. Prepare an analysis to show whether the company should retain or replace the machine. 2.What will be a gain/loss on sale of current copier, if the company decides to replace? 9 0 Question 2 6 points Kinders Enterprises relies heavily on a copier machine to process its paperwork. Recently the copy clerk has not been able to process all the necessary copies within the regular work week. Management is considering updating the copier machine with a faster model. Current Copier New Model Original purchase cost $0 $0 Accumulated depreciation Estimated operating costs (annual) Useful life, years If sold now, the current copier would have a salvage value of 50 If operated for the remainder of its useful life, the current machine would have zero salvage value. The new machine is expected to have zero salvage value after 2 years. Instructions 1. Prepare an analysis to show whether the company should retain or replace the machine. 2.What will be a gain/loss on sale of current copier, if the company decides to replace? 9

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