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A company needs to purchase a new copy machince and has the following infomration avaliable for Model A and Model B: A B Purchase Price
A company needs to purchase a new copy machince and has the following infomration avaliable for Model A and Model B: | |||||||||||
A | B | ||||||||||
Purchase Price | $ 35,000 | $ 55,000 | |||||||||
Shipping | $ 750 | $ 600 | |||||||||
Installation | $ 250 | $ 350 | |||||||||
Set-up | $ 400 | $ 400 | |||||||||
Monthly service | $ 75 | $ 75 | |||||||||
Monthly toner | $ 250 | $ 225 | |||||||||
Annual Miantenace | $ 500 | $ 500 | |||||||||
Copies per minute | 35 | 35 | |||||||||
Initial traning cost | $ 600 | $ 600 | |||||||||
Both machines are expected to last five years | |||||||||||
What are model B's total irrelevant costs in the decision to purchase model A or model B? | |||||||||||
$ 8,000 | |||||||||||
$ 74,000 | |||||||||||
$ 1,575 | |||||||||||
$ 21,100 | |||||||||||
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