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Emphasis Heading 1 1 Normal Strong Subtitle V Paragraph IN Styles Equipment Replacement Decision The Dart Consulting firm uses a large scanner to digitize their
Emphasis Heading 1 1 Normal Strong Subtitle V Paragraph IN Styles Equipment Replacement Decision The Dart Consulting firm uses a large scanner to digitize their clients' data. Dart is considering the updating the scanner with a new one. The scanners have the following estimated data: Old Scanner New Scanner Cost Annual Operating Costs Remaining Useful Life Current Salvage Value Salvage Value after 4 Years $20,000 $18,000 5 Years $14,000 $0 $32,000 $10,000 5 Years $0 Ignore the time value of money and income taxes. Should the new scanner be purchased? How much additional income will be realized by purchasing the new scanner? Show all of your work. Unsupported answers will not be graded
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