Business, 16.03.2020 16:57 Skylynn11

Abbott Company is considering purchasing a new machine to replace a machine purchased one year ago that is not achieving the expected results. The following information is available:

Expected maintenance costs of new machine $12,000 per year
Purchase price of existing machine $150,000
Expected cost savings of new machine $20,000 per year
Expected maintenance costs of existing machine $8,000 per year
Resale value of existing machine $35,000

Which of these items is irrelevant?

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