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Exercise 1 - 5 ( Static ) Differential, Sunk, and Opportunity Costs [ LO 1 - 5 ] Northeast Hospital's Radiology Department Is considering replacing
Exercise Static Differential, Sunk, and Opportunity Costs LO
Northeast Hospital's Radiology Department Is considering replacing an old inefficient ray machine with a stateoftheart digital ray machine. The new machine would provide higher quality rays in less time and at a lower cost per ray. It also requires less power and would use a color laser printer to produce easily readable ray images. Instead of Investing the funds in the new ray machine, the Laboratory Department is lobbying the hospital's management to buy a new DNA analyzer.
Required:
Classify each item as a differential cost, a sunk cost, or an opportunity cost in the decision to replace the old Xray machine with a new machine. If none of the categories apply for a particular item, select "None".
tableItemExample: Cost of Xray film used in the old machine,Differential Cost Cost of the old Xray machine, The salary of the head of the Radiology Department, The salary of the head of the Laboratory Department, Cost of the new digital Xray machine, Rent on the space occupied by Radiology, The cost of maintaining the old machine, Benefits from a new DNA analyzer, Cost of electricity to run the Xray machines,
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