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6. TRUE OR FALSE? In the replacement analysis over a specified study period, the first step...

6. TRUE OR FALSE? In the replacement analysis over a specified study period, the first step is to develop all the viable ways to use the the defender and challenger during the study period. (Develop the succession options using the AW values)

7. TRUE OR FALSE? Once you have determined the replacement value (RV), the selection guidelines is as follows:

If the actual market trade-in exceeds the breakeven replacement value, the defender is the better alternative. So keep the defender.

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