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Hutchinson has a photocopier with a book value of $40,000 and a remaining useful life of five years. At the end of the five years

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Hutchinson has a photocopier with a book value of $40,000 and a remaining useful life of five years. At the end of the five years the copier will have a zero salvage value. The market value of the copier is currently $32,000. Hutchinson can purchase a new high- capacity copier for $120,000 and receive $31,000 in return for trading in its old copier. The new copier will reduce variable costs by $25,000 per year over its five-year life. The total increase (decrease) in net income by replacing the current copier with the new copier (ignoring the time value of money) is: (Enter your answer in whole dollars only; do not use a dollar sign, comma, or cents. An increase in income is a positive number, a decrease in income is a negative number indicated by a minus sign before the number.) Numeric Response

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