Solved: You purchased an mri scanner two years ago for 20 million, Finance Basics

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You purchased an mri scanner two years ago for 20 million

You purchased an MRI scanner two years ago for $2.0 million. The MRI has a 5-year depreciable life with no salvage value. If that same MRI now costs $3.0 million, what would the difference between replacement cost depreciation and historical cost depreciation be?

A. $1,000,000

B. $200,000

C. $600,000

D. None of the above

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Finance Basics: You purchased an mri scanner two years ago for 20 million

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Finance Basics: You purchased an mri scanner two years ago for 20 million

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