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1.
Continue with Replace Differential
Old Machine Old Machine Effects
(Alternative 1) (Alternative 2) (Alternative 2)
Annual manufacturing costs (6 yrs.)
Profit (loss)
The proposal to replace the machine should be
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Continue with (Alt. 1) or Replace (Alt. 2) Old Machine
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Enter a zero in cells you would otherwise leave blank.
1.
Continue with Replace Differential
Old Machine Old Machine Effects
(Alternative 1) (Alternative 2) (Alternative 2)
Revenues:
Proceeds from sale of old machine –$ 12,900$ 12,900$
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Other factors to be considered include:
a. Are there any improvements in the quality of work turned out by the new machine?
Continue with (Alt. 1) or Replace (Alt. 2) Old Machine
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