Evaluate whether the proposed asset is for disposal or fix and keep in operation.

Analyze the given data and write down the criteria and justification that led to your

decision.

m_ Reason: Malfunction New technology Manufacturing Date March 2010 Jun 2016 Installation date: Jan 2011 Dec 2016 Purchasing Pricefyea r: 130000012010 1,500,000f2016 Service contract cost in last 62,540 {without In house year: parts} Service contract cost 453,000.00 Annual testing + during machine life: parts (220,000) Repair Cost: 125,000 0 Repair Time: 60 days (partial) 9-0 days Repair warranty: 6 months 3 months New Machine price: 1,300,000.00 1,350,000.00