A Company Decided to Replace an Old Machine with a New

question 121

Multiple Choice

A company decided to replace an old machine with a new machine. Which of the following is considered a relevant cost?

• A) The book value of the old equipment
• B) Depreciation expense on the old equipment
• C) The loss on the disposal of the old equipment
• D) The current disposal price of the old equipment

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Definitions:

Free Will

Among philosophers, a somewhat antiquated expression (as in “he did it of his own free will”) meaning that a person is capable of making decisions that are not determined by antecedent conditions. Of course, there may be antecedent considerations, such as what a person wants or what a person believes, but free will means that such considerations never determine a person’s decision. At most they “enter into the decision.”

Least of the Evils

A principle involved in decision making that opts for the less harmful or least undesirable option among several bad choices.

Process Philosophy

A philosophical approach that emphasizes becoming, change, and the dynamic nature of reality over static being or existence.

Creating Himself

The philosophical concept of an individual actively shaping their own identity, character, and essence through their choices and actions.