Answered

Westonci.ca offers quick and accurate answers to your questions. Join our community and get the insights you need today. Discover precise answers to your questions from a wide range of experts on our user-friendly Q&A platform. Explore comprehensive solutions to your questions from a wide range of professionals on our user-friendly platform.

XYZ is considering two alternatives: repairing a damaged van or selling it as is and buying a comparable used van. Information related to this decision is provided below: Initial cost of the damaged van $30,000 Accumulated depreciation to date on van $18,000 Salvage value of the damaged van $ 1,000 Cost to repair damaged van $ 5,000 Cost of a comparable used van $10,000 Based on the information above, XYZ would be financially better off: Group of answer choices

Sagot :

Tundexi

Answer:

d. $4.000 by repairing the damaged van.

Explanation:

Options are "a. $1,000 by buying the comparable van. b. $2,000 by buying the comparable van c. $2.000 by repairing the damaged van. d. $4.000 by repairing the damaged van."

Details                                                                   Amount

Cost of comparable used Van                            $10,000

Less: Repair cost                                                  $5,000

Less: Salvage value before repair after crash   $1,000

Benefit from repairing damaged van               $4,000

Thank you for choosing our service. We're dedicated to providing the best answers for all your questions. Visit us again. Thanks for using our service. We're always here to provide accurate and up-to-date answers to all your queries. Thank you for trusting Westonci.ca. Don't forget to revisit us for more accurate and insightful answers.