Tawstir Corporation Has 800 Obsolete Personal Computers That Are Carried

Multiple Choice

Tawstir Corporation has 800 obsolete personal computers that are carried in inventory at a total cost of $1, 100, 000.If these computers are upgraded at a total cost of $40, 000, they can be sold for a total of $750, 000.As an alternative, the computers can be sold in their present condition for $690, 000. The sunk cost in this situation is:

A) $40, 000
B) $750, 000
C) $690, 000
D) $1, 100, 000