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A machine with a purchase price of $75,000, requiring a major overhaul costing $8,000, installation costs of $4,000 and testing costs of $2,000, and a
A machine with a purchase price of $75,000, requiring a major overhaul costing $8,000, installation costs of $4,000 and testing costs of $2,000, and a residual value of $2,000, would have a value on initial recognition of:
a.
$79,000
b.
$87,000
c.
$83,500
d.
$89,000
e.
$75,000
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