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A machine was purchased one year ago. Presently, the market value is $16,000 and it declines by $3,000 every year. For the next 3 years, the maintenance costs are as follows: Year Maintenance costs 1 $890 2 $1,290 3 $1,690 What is the marginal cost of extending the service for the 3rd year? A. $2,690 B. $5,490 C. $4,690 D. $5,690 |
| Answer» C. 4690$EXPLANATION:costs add depreciation and MAINTAINING CHARGES | |