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When a company is deciding whether to buy a new cutting machine or continue to use the old machine, the following costs are relevant to

When a company is deciding whether to buy a new cutting machine or continue to use the old machine, the following costs are relevant to this decision EXCEPT FOR the:

$4,000 annual depreciation of the old machine

$8,000 annual savings in operating costs if the new machine is purchased

$80,000 acquisition cost of the new machine

$5,000 market value (selling price) of the old machine

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