Asked by Abder-rahmane Cisse on Jun 26, 2024

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In making the decision to buy the model 240 machine rather than the model 310 machine, the sunk cost was:

A) $545,000
B) $450,000
C) $527,000
D) $532,000

Sunk Cost

An expense that has been paid and cannot be retrieved.

  • Pinpoint and evaluate differential, opportunity, and sunk costs in contexts of making decisions.
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CP
Chandon PorterJul 02, 2024
Final Answer :
C
Explanation :
Sunk cost = Cost of old machine = $527,000