When choosing whether or not to replace usable fixed assets,management should consider the future costs,but not the prior costs,of continuing to use the asset versus the costs and benefits of replacement.

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When deciding whether to replace a fixed asset, management should focus on the future costs and benefits, rather than the sunk costs of acquiring and using the asset in the past. It is important to consider factors such as maintenance costs, operating efficiency, and potential technological advances that could make replacement more beneficial in the long run.

When Choosing Whether or Not to Replace Usable Fixed Assets,management