Suppose Nantucket Nectars has a machine for which it paid $$160,000$ several years ago and is currently not being used. It can use the machine to

produce $12$ oz $.$ bottles of its juice cocktails or $12$ oz $.$ bottles of its $100\%$ juices. The contribution margin from the additional sales of $100\%$ juice would

be $$90,000.$ A third alternative is selling the machine for cash of $$75,000.$

Requirement

What is the opportunity cost of the machine when we analyze the alternative to produce $12$ oz$.$ bottles of juice cocktails?

The opportunity cost of the machine when analyzing the alternative to produce $12$ oz $.$ bottles of juice cocktails is $