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JulsSmile [24]
3 years ago
6

Breezy Company is considering the replacement of equipment that has a current book value of $340,000. Breezy has an oppprtunity

to sell the equipment for $240,000. The cost of replacing the old equipment with a new machine is $300,000. The cost of operating the new equipment is $20,000 per year less than the cost of operating the old equipment. The new equipment has a 5-year useful life. The amount of the sunk cost for this replacement decision is
Business
1 answer:
Rzqust [24]3 years ago
7 0

Answer:

$340,000

Explanation:

A sunk cost is a cost that has already been incurred and cannot be affected by any decision that someone makes. E.g. once you pay an expense like rent, the cost will not be recovered or altered by any decision that you make. Sunk costs is simply money that has been spent and cannot be recovered.

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3 years ago
The cost allocation base​ ________. A. is a systematic way to link an indirect cost or group of indirect costs to cost objects B
ycow [4]

Answer:

The correct answer is letter "A": is a systematic way to link an indirect cost or group of indirect costs to cost objects.

Explanation:

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6 0
3 years ago
Rankine Company estimates its bad debts expense by aging its accounts receivable and applying percentages to various age groups
guapka [62]

Answer:

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4 0
3 years ago
What sort of questions would a Turing test ask and what are some responses to each
Butoxors [25]
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7 0
3 years ago
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alexgriva [62]

Answer:

Indication of items erroneously stated on:

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