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1. KISS 92.5 is considering the replacement of its old, fully depreciated sound mixer. a cost of $743,000, a six savings of $296,000 per year.
1. KISS 92.5 is considering the replacement of its old, fully depreciated sound mixer. a cost of $743,000, a six savings of $296,000 per year. Mixer Y has a cost of $989,000, a ten-year life, and after-tax cash flow of $279,000 per year. No new technological developments are expected. The cost of capital is 12%. Should KISS 92.5 replace the old mixer with X or Y? Why
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