- + Fit to page Page View All Read alc Physician's Pharmacy is considering the purchase of a copying machine which it will make available to customers at a per-copy charge. The copying machine has an initial cost of $7,500, an estimated useful life of five years, and an estimated salvage value of $500. The estimated annual revenue and expenses relating to operation of the machine are as follows: Revenue ........... $8,000 $5,500 Expenses other than depreciation.. All revenue will be received in cash: expenses other than depreciation will be paid in cash. Depreciation will be computed by the straight-line method. Answer the following questions. If you select answer d, indicate the correct amount in the space provided. YOU WILL NOT RECEIVE CREDIT FOR YOUR ANSWER UNLESS YOU SHOW YOUR WORK! 4 Refer to the above data. Acquisition of the copying machine is expected to increase Physician's annual net income by: a $1,100.