What are the salvage values for choices b and c

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Three alternatives are being considered

A: Machine A can be purchased for 10,000. It generates 4,000 per year and 1,000 after 5 years which is the planning Horizon.

B: Machine B can be purchased for 5,000. It generates 2,000 per and can be sold for 800 after 7 years which is the planning Horizon.

C: Machine C can be purchased for 6,000.

It generates 2500 per year and can be sold for 700 after 3 years which is the planning Horizon.

Using the least common Multiple planning horizon approach what are the salvage values for choices B and C?

Reference no: EM132027585

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