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Comment by burnished

1 month ago

That one is sunk cost, I think golden handcuffs are for highly compensated employment.

Sunk Cost is usually something we encourage people to avoid, but in the case of the capital infrastructure of your home, we have to factor depreciation. The aunt is not likely going to re-sell the washer for market value (like a car). It would be recycled when the new more high tech model comes in. A total loss.