A Local Learning Center Is Considering Replacing the Computers in Its

question 28

Essay

A local learning center is considering replacing the computers in its facility with thin client technology,thereby eliminating the need for individual computers at each station in the lab.The cost to purchase and install this new technology is $450,000 and it is projected to last for six years.The existing computers have a book value of $70,000 and a market value of $18,000 if they were to be sold.They expect to save a fair amount of money in maintenance costs and software upgrades if they go to the new technology.
Required:
a.What would the annual savings have to be in order to warrant the replacement of the existing computers with the thin client technology?
b.What would the annual savings have to be in order to warrant the replacement of the existing computers with the thin client technology if the existing computers have no current market value?

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Definitions:

Acne

A skin condition that occurs when your hair follicles become plugged with oil and dead skin cells.

Turgor

Normal tension; with the skin, it means the resistance to being deformed and the length of time to return to normal.

Calloused Fingers

Areas of thickened skin on the fingers resulting from repeated friction or pressure, often found in musicians, laborers, and individuals performing manual tasks.

Skin Cracks

Small fissures that appear on the surface of the skin often due to dryness, resulting in potential irritation and discomfort.