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Three years ago Yeagley and Sons purchased the three assets listed in the following table. The chief financial officer, Kathy Dillon, is presently trying to

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Three years ago Yeagley and Sons purchased the three assets listed in the following table. The chief financial officer, Kathy Dillon, is presently trying to decide what to do with each asset. She has three choices for each asset: (1) sell it, (2) sell it and replace it with an equivalent asset, or (3) keep it. The following information is provided to aid her decision.

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Present Value Present llalue of Future Dash of Future Cash Replacement Fair Market Flows Produced by Flows at Asset Original [inst Best Value 0ld Asset Equivalent Asset A $4,000 $1,000 $1,500 $2,500 $5,000 B 1 ,500 2,000 500 2,500 3,500 C 2,000 3,500 3,000 2,500 5,000

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