Business, 31.07.2019 19:20 countryboy42
Denny corporation is considering replacing a technologically obsolete machine with a new state-of-the-art numerically controlled machine. the new machine would cost $160,000 and would have a ten-year useful life. unfortunately, the new machine would have no salvage value. the new machine would cost $22,000 per year to operate and maintain, but would save $52,000 per year in labor and other costs. the old machine can be sold now for scrap for $16,000. the simple rate of return on the new machine is closest to (ignore income taxes.):
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