19. A company is considering a 10-year capital investment project. The project has annual positive cash flows each year. The accounting manager has calculated the NPV of the same project using three different costs of capital (12%, 13% and 16%) as discount rates. Select the most logical combination of NPVs from the choices given. Note: You cannot calculate the NPVs nor do you need to. 12% a. $(5,743) b. $(5,743) c. $3,152 d. $6,512 e. None of the above 13% $3,152 $6,612 $6,512 $3,152 16% $ 6,612 $ 3,152 $(5,743) $(5,743) 20. At December 31, 2002, Zar Company had an old machine with an original cost of $84,000 and an estimated disposal value of zero. On December 31, 2002, Zar was considering the purchase of a new machine having a five year life, costing $120,000, and having an estimated disposal value of $20,000 at the end of five years. In its decision concerning the possible purchase of the new machine, how should Zar consider the cost of the old machine? a. As a relevant cost of $84,000 b. As a new cash outflow of $84,000 c. As a sunk cost of $84,000 d. As a differential cost of $84,000 e. None of the above