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Delaney Company is considering replacing equipment which originally cost $508,000 and which has $355,600 accumulated...

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Accounting

Delaney Company is considering replacing equipment which originally cost $508,000 and which has $355,600 accumulated depreciation to date. A new machine will cost $722,000. What is the sunk cost in this situation?

a. $121,920

b. $152,400

c. $508,000

d. $569,600

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