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RL Enterprises is deciding between two machines. Machine A costs $715,000, with revenues of $312,000 and expenses of $240,000. Machine B costs $684,000, with revenues
RL Enterprises is deciding between two machines. Machine A costs $715,000, with revenues of $312,000 and expenses of $240,000. Machine B costs $684,000, with revenues of $309,000 and expenses of $204,000. Both have a 10-year life and no salvage value. If JT uses the straight-line method to compute depreciation, how desirable are the machines? Use the annual rate of return to determine the answer O Machine A is more desirable than Machine B. Neither Machine A nor Machine Bis desirable. Machine B is more desirable than Machine A O Machine A and Machine Bare equally desirable. Submit Answer Save for Later
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