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Nathan T Corporation is comparing two different options. Nathan T currently uses Option 1, with revenues of $64, 000 per year, maintenance expenses of $4,
Nathan T Corporation is comparing two different options. Nathan T currently uses Option 1, with revenues of $64, 000 per year, maintenance expenses of $4, 900 per year, and operating expenses of $25, 500 per year. Option 2 provides revenues of $59, 000 per year, maintenance expenses of $4, 900 per year, and operating expenses of $21, 600 per year. Option 1 employs a piece of equipment which was upgraded 2 years ago at a cost of $17, 000. If Option 2 is chosen, it will free up resources that will bring in an additional $4, 000 of revenue. Complete the following table to show the change in income from choosing Option 2 versus Option l. Designate Sunk costs with an "S" otherwise select "NA
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