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Please answer these PE 26-1B Lease or sell Proto Company owns a machine with a cost of $320,000 and accumulated amortize- obj. 1 tion of

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PE 26-1B Lease or sell Proto Company owns a machine with a cost of $320,000 and accumulated amortize- obj. 1 tion of $60,000 that can be sold for $250,000, less a 5% sales commission. Alternatively, HE 26-1 . 1233 the machine can be leased by Proto Company for three years for a total of $268,000, at the end of which there is no residual value. In addition, repair, insurance, and prop- erty tax that would be incurred by Proto Company on the machine would total $24,000 over the three years. Determine the differential income or loss from the lease alterna- tive for Proto Company. PE 26-2B Discontinue a Product V has revenue of $204,000, variable cost of goods sold of $134,000, variable segment selling expenses of $74,000, and fixed costs of $14,000, creating a loss from operations obj. 1 of $18,000. EE 20-2 1235 . Determine the differential income or loss from sales of Product V. b. Should Product V be discontinued? PE 26-3A Make or buy A company manufactures various-sized plastic bottles for its medicinal product. The obj. 1 manufacturing cost for small bottles is $52 per unit (1,000 bottles), including fixed costs of $15 per unit. A proposal is offered to purchase small bottles from an outside source EE 26-3 p. 1236 for $32 per unit, plus $7 per unit for freight. Provide a differential analysis of the outside purchase proposal. PE 26-6A Product A is normally sold for $6.50 per unit Accept business at special price export market. The variable production cost is s jal price of $5.60 is offered for the per unit. An additional export tariff obj. 1 of 25% of revenue must be paid for all products. Determine the differential income or loss per unit from selling Product EE 26-6 p. 1241

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