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Which costs is irrelevant

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Question - On December 31, 2018, Company A completed the construction of a new P900,000 machine. On January 3, 2019, a salesman from an equipment supplier offered to sell the company an P800,000 machine than can replace the constructed machine and provide operating savings of P200,000 per year for the next five year (the life of both machines). The machine built by Company A has no salvage value. Which costs is irrelevant?

Reference no: EM132661626

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