PROBLEM #1 JCU Diagnostics Radiology Dept. is considering replacing an old inefficient X-ray machine with a state-of-the-art digital X-ray machine. The new machine will provide higher quality X-rays quicker and at a lower cost per X-ray and would also require less power and would use a color laser printer to produce easily readable X-ray images. Instead of investing the funds in the new X-ray machine, the Lab Dept. is lobbying management to buy a new DNA analyzer. Required: Indicate whether each item is either a differential cost, a sunk cost, or an opportunity cost in the decision to replace the old X-ray machine with a new machine. If none of the categories apply for a particular item, indicate "None". 1. Cost of the old X-ray machine 2. The cost of maintaining the old machine 3. Cost of electricity to run the X-ray machines 4. Rent on the space occupied by Radiology 5. Benefits from a new DNA analyzer