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Problem #1 (6 points) Show all work I own two tractors (individual assets) on my farm. I want to sell one of them and it
Problem #1 (6 points) Show all work
I own two tractors (individual assets) on my farm. I want to sell one of them and it needs to be the asset that has the lowest annual return. I need your help. Please calculate the annual return on these two individual assets AND tell me which one to put up for sale. Here is what I can share with you.
- 2010 John Deere tractor purchased new for $15,000 and now worth $13,000. It has generated a cash flow of $4,250 for me last year
- 2010 Kubota tractor - purchased new for $15,000 and now worth $17,500. It has generated a cash flow of $950 for me last year
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