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A company owner has asked his accountant to research the photocopier equipment available from vendors, and to recommend the two best equipment alternatives. The company

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A company owner has asked his accountant to research the photocopier equipment available from vendors, and to recommend the two best equipment alternatives. The company owner will decide on one piece of equipment to purchase. The fee charged for the accountant's research was $500. The accountant's report produced the following information: Photocopier (B) $ 6,000 5 vears Initial cost, including installation Economic life Scrap value at end of economic life Initial training cost Annual maintenance Annual wage cost Photocopier (A) $6,500 5 years -0- $ 500 $ 400 $12.500 $ 700 $ 300 $12.500 REQUIRED 1. Which photocopier should the company owner choose? Why? 2. The company owner requested your help in preparing the coming year company budget. Please, guide him to the best method and appropriate type from your perspective

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