PC Express Is Evaluating the Purchase of a New Machine

question 105

Multiple Choice

PC Express is evaluating the purchase of a new machine that will cost $300 000. The company bought the existing machine for $200 000 five years ago and can sell it today for $50 000. What is the marginal cost of buying the new machine?

• A) $250 000
• B) $100 000
• C) $300 000
• D) $50 000

---

Definitions:

Collaborative Model

A framework or system used to enable multiple users or parties to work together on a common task or project, often in real-time.

Subscription Service

A business model where customers pay a recurring price at regular intervals for access to a product or service.

Cognitive Surplus

The collective time and talents available to humanity, particularly as it relates to engaging in collaborative activities utilizing digital technologies.

Collaborative Consumption

The coordinated sharing or exchange of goods and services through digital platforms or community-based practices, leveraging technology to facilitate peer-to-peer borrowing and lending.