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Penny Construction Company is considering selling excess equipment with a book value of exist11,000 (original cost of exist20,000 less accumulated depreciation of exist9,000) for exist8,000

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Penny Construction Company is considering selling excess equipment with a book value of exist11,000 (original cost of exist20,000 less accumulated depreciation of exist9,000) for exist8,000 less a 10% brokerage commission. Alternatively, the machinery can be leased to another company for a total of exist9,000 for five years, after which it is expected to have no residual value. During the period of the lease, Penny Construction Company's costs of repairs, insurance, and property tax expenses are expected to be exist2,000. Which cost can be ignored in a decision matrix for differential analysis? the exist2,000 cost of repairs, insurance, and property tax with the lease the exist8,000 selling price of the equipment the exist11,000 book value of the equipment the exist9,000 rent for leasing the equipment

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