A company paid $200,000 eight years ago for a specialized machine that has no salvage value and is being depreciated at the rate of $20,000 per year. The company is considering using this machine in a new project that will have incremental revenues of $35,000 per year and annual cash costs of $17,000. In analyzing the new project, the $200,000 cost of the old machine is an example of a(n) O A. out-of-pocket cost OB. sunk cost OC. opportunity cost OD. incremental cost