X Company is considering replacing one of its machines in order to save operating costs. The following information is available:

Current machine
Current sales value	$6,000
Final sales value	0
Operating costs	64,000
New machine
Purchase cost	$66,000
Final sales value	2,000
Operating costs	47,000

Both machines will last for 5 more years.

Assuming a discount rate of 8%, what is the incremental net present value of replacing the current machine with the new machine?

A: $5,771

B: $6,752

C: $7,900

D: $9,243

E: $10,814

F: $12,653

Tries 0/99

X Company is considering replacing one of its machines in order to save operating costs. The following information is available: $6,000 0 64,000 Current machine Current sales value Final sales value Operating costs New machine Purchase cost Final sales value Operating costs $66,000 2,000 47,000 Both machines will last for 5 more years. Assuming a discount rate of 8%, what is the incremental net present value of replacing the current machine with the new machine? OA: $5,771| OB: $6,752 C: $7,900 D: $9,243|| OE: $10,814| OF: $12,653 Submit Answer Tries 0/99