a company paid $400,000 5 years ago for a specialized machine that has no salvage value and is being depreciated at a rate of 40,000 per year. The company is considering using the machine in the new project that will have incremental revenues of $48,000 per year and annual cash expense of 30,000. In analyzing the new project the 40,000 depreciation on the machine is an example of: A. Sunk Cost B. Opportunity Cost C. Out of Pocket Cost D. Variable Cost E. Incremental Cost