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how do I solve this? Question 20: The WDV of an old widget machine is f200,000. The scrap value of this old machine is $50,000.

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Question 20: The WDV of an old widget machine is f200,000. The scrap value of this old machine is $50,000. The Cost of a new widget machine is $500,000. The costs of producing widgets with the new machine will be $80,000 cheaper per year. The life of the new machine will be 6 years. The fixed costs are $20,000 per year. Ignore the time value of money. The differential benefit/ (cost) of the new machine will be: a. $30,000 b. (E170,000) c. (E290,000) d. $80,000

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