Which one of the following is most relevant to an equipment-replacement decision (assume no tax effects) used in a trade or business?

Multiple Choice

• Current disposal (salvage) value of the old equipment.

• Original cost less accumulated depreciation of the old equipment.

• Original cost of the old equipment.

• A lump-sum write-off amount from the disposal of the old equipment.

• Gain or loss on the disposal of the old equipment.