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YYou are hired as a consultant to decide if your client should purchase a new, highly specialized piece of equipment. The product to be produced

YYou are hired as a consultant to decide if your client should purchase a new, highly specialized piece of equipment. The product to be produced by this equipment is forecast to have a total worldwide demand of 15,000 units. The annual depreciated investment to acquire and install the equipment is $256,000. The variable cost to produce each unit will be $15, and the selling price for the finished product will be $30. Which of the following best describes the situation the firm is facing?
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