1. P holds a machine that can be traded in three different markets. P normally transacts in Market C. Required A) B) C) Market Market volume (annual) P's transaction volume Trades per month Price Transport costs Potential FV Transaction costs Net proceeds 30,000 7,000 30 $50 S(2) $48 S(1) $47 B 12,000 8,000 12 $48 S(3) $45 $(2) $40 12,000 9,000 10 553 S(3) $50 S(2) $48 Determine the principal market, and the most advantageous market. How much is the fair value of the machine? Assuming market A does not exist, how much is the fair value of the machine?