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years ago for $414,000. The old machine was used to make product 143L until it broke down last week. Unfortunately, the old machine cannot be
years ago for $414,000. The old machine was used to make product 143L until it broke down last week. Unfortunately, the old machine cannot be repaired. Management has decided to buy the new model 220 machine. It has less capacity than the new model 370 machine, but its capacity is sufficient to continue making product 143L. return a total of $445,000. In making the decision to buy the model 220 machine rather than the model 370 machine, the sunk cost was: Multiple Choice $414,000 $405,000 $459,000 $445,000
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