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Jack Deere has a lawn mowing business. His current ridng mower has quit working. Jack...

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Question

Accounting

Jack Deere has a lawn mowing business. His current ridng mower has quit working. Jack is considering his options.

Indicate each item below as being relevant or irrelevant when arriving at a decision?

Question 12 options:

12

The old lawn mower could be repaired for $2,000.

12

If Jack hired students to mow, he could free up his time and add landscaping services to his business.

12

The old riding lawn mower can be sold for $200.

12

The old riding lawn mower cost $3,000 and the book value will be written off as a loss if he disposes of it.

12

For each lawn mowed, Jack will charge $25 whether mowed by a new riding mower or by a student's push mower, or his repaired mower.
1.

Relevant
2.

Irrelevant

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