ABC, Inc., is considering the purchase of a digital camera for
the maintenance of design specifications by feeding digital
pictures directly into an engineering workstation where
computer-aided design files can be superimposed over the digital
pictures. Differences between the two images can be noted, and
corrections, as appropriate, can then be made by design engineers.
The capital investment requirement is $350,000 and the estimated
market value of the system after a six-year study period is
$120,000. Annual revenues attributable to...