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Tech a States That It Is Sometimes Not Worth Rebuilding

question 26

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Tech A states that it is sometimes not worth rebuilding a valve body if it is too worn. Tech B states all valve bodies can be rebuilt. Who is correct?


Definitions:

Minimum Required Rate

The lowest return rate that an investment must offer to be considered viable or acceptable.

Residual Income

The income that remains after deducting all costs, including the cost of capital.

Turnover

The total sales generated by a business within a specific period. It can also refer to the rate at which employees leave a company and are replaced.

Residual Income

Residual income is the profit earned after subtracting all required costs of capital from the operating profit.

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