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year life with no residual value. The new machine would reduce annual direct labor costs from $ 4 9 , 6 0 0 to $
year life with no residual value. The new machine would reduce annual direct labor costs from $ to $
Prepare a differential analysis dated October on whether to Continue with Old Machine Alternative or Replace Old Machine Alternative If an amount is zero, enter For those boxes in which you must enter subtracted or negative numbers use a minus sign.
Differential Analysis
Continue with Old Machine Alt or Replace Old Machine Alt
April
tabletableContinue withOld MachineAlternative tableReplace OldMachineAlternative tableDifferentialEffectAlternative Revenues:Proceeds from sale of old machine,$Costs:Purchase priceDirect labor yearsProfit loss$
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