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TRS uses cutting machines in its manufacturing processes and must decide whether to replace them every year or every two years. The machine costs

TRS uses cutting machines in its manufacturing processes and must decide whether to replace them every yearA. After one year, saving $6,000 per year. B. After one year, saving $12,000 per year. C. After two years,

TRS uses cutting machines in its manufacturing processes and must decide whether to replace them every year or every two years. The machine costs $90,000 to buy, and TRS has a cost of capital of 10%. The following additional information has been gathered: Year 1 Year 2 Running costs $40,000 $50,000 Resale value when sold $65,000 $35,000 Which answer choice defines when TRS should replace their cutting machines, and what the saving will be? A. After one year, saving $6,000 per year. B. After one year, saving $12,000 per year. C. After two years, saving $6,000 per year. D. After two years, saving $12,000 per year.

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