2. IKS is considering replacing its X1 equipment with new X2 equipment. The old equipment...
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Accounting
2. IKS is considering replacing its X1 equipment with new X2 equipment. The old equipment would be sold. This replacement would have no impact on the sales volume as well as on the sales costs. The raw materials consumed would be reduced somewhat due to the reduction in waste. Of the following of the following items, how many are relevant to the decision?
Sales volume Raw materials consumed Equipment depreciation X2 Equipment depreciation X1 Resale price of equipment X1
a)5 b)3 c)2 d)4
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