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TB MC Qu. 23-95 (Algo) Dragoo Building Incorporated has a crane with ... Dragoo Building incorporated has a pump with a book value of $255,000

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TB MC Qu. 23-95 (Algo) Dragoo Building Incorporated has a crane with ... Dragoo Building incorporated has a pump with a book value of $255,000 and a four-year remaining life. A new pump is available at a cost of $630,000. Dragoo can receive $49,500 for trading in the old pump. The old pump has variable costs of 5325.000 per year. The new pump will reduce variable costs by $148,000 per year over its four-year life. The total Impact to Dragoo Building incorporated over the pump's four year life is Multiple Choice Decrease of 5630000 Decrease of $4500 Decrease of S11500 Increase of 5692000 0 Increase of 511 500

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