A material handling system was purchased 3 years ago for $112,258. Two years ago it required substantial upgrading at a cost of $13,654. It once again is requiring an upgrading cost of $24,415. Alternately, a new system can be purchased today at a cost of $200,319, with a salvage value of $22,371. The existing machine could be sold today for $50,720. In an economic replacement analysis, what first cost should be assigned to the existing system

1. the political environment in india has proven to be critical to company performance for both pepsico and coca-cola india. what specific aspects of the political environment have played key roles? could these effects have been anticipated prior to market entry? if not, could developments in the political arena have been handled better by each company? 2. timing of entry into the indian market brought different results for pepsico and coca-cola india. what benefits or disadvantages accrued as a result of earlier or later market entry? 3. the indian market is enormous in terms of population and geography. how have the two companies responded to the sheer scale of operations in india in terms of product policies, promotional activities, pricing policies, and distribution arrangements? 4. “global localization” (glocalization) is a policy that both companies have implemented successfully. give examples for each company from the case.