Delaney Company is considering replacing equipment which originally cost $600,000 and which has $420,000 accumulated depreciation to date.A new machine will cost $790,000 and the old equipment can be sold for $8,000.What is the sunk cost in this situation?
A) $172,000
B) $180,000
C) $188,000
D) $290,000

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The Answer of Delaney Company is considering replacing equipment which originally cost $600,000 and which has $420,000 accumulated depreciation to date.A new machine will cost $790,000 and the old equipment can be sold for $8,000.What is the sunk cost in this situation?
A) $172,000
B) $180,000
C) $188,000
D) $290,000

Delaney Company Is Considering Replacing Equipment Which Originally Cost $600,000