All sunk costs arefixed costsbut not all fixed costs are sunk costs. The difference is that sunk costs cannot be recovered. If equipment can be resold or returned at thepurchase price, for example, it's not a sunk cost. 所有沉没成本都是固定成本,但并非所有固定成本都是沉没成本。不同的是,...
Costs that are always irrelevant in decision making areA.fixed costsB.sunk costs.C.future costs that do not differ between thealternatives.D.both sunk costs and future costs that donot differ between the alternatives. 相关知识点: 试题来源: 解析 D ...
In decision-making processes, rational agents face two types of costs namely retrospective costs or sunk costs and prospective costs, the latter of which are costs that will be influenced if the action is taken. Prospective costs can lead to unin...
Sunk Costs. Sunk costs are expenses incurred to date in a project that are already spent and as a result cannot be recovered. Sunk costs arefixedand do not change irrespective of the levels of productivity of a project or operation. Sunk cost examples include rent, subscription fees or hardwa...
Sunk costs are those costs that happened and there is not one thing we can do about it. Thesecosts are never relevant in our decision makingprocess because they already happened. These costs are never a differential cost, meaning, they are always irrelevant. ...
No. Only certain fixed costs which have already been irrevocably incurred are considered as sunk costs. The suck cost is not related to the...Become a member and unlock all Study Answers Start today. Try it now Create an account Ask a question Our experts ...
Sunk costs are costs that were paid. Since economic decisions are based on the marginal cost and the marginal benefit of a proposed action, the primary characteristic of sunk costs is that their marginal cost is zero, regardless of the initial cost. Hence, any economic decision based on sunk...
My job doesn’t end until the end of May so let’s call this day # -23. Until that time I am fully employed, and I also have permission from my current boss to look for positions internally. So, I have a couple of departments I am reaching out to, but my hopes are not high ...
A sunk cost is defined as "a cost that has already been incurred and thus cannot be recovered. A sunk cost differs from other, future costs that a business may face, such as inventory costs or R&D expenses, because it has already happened. Sunk costs are independent of any event that ma...
Understanding Sunk Costs A sunk cost refers to money that has already been spent and cannot be recovered. A manufacturing firm, for example, may have a number of sunk costs, such as the cost of machinery, equipment, and the lease expense on the factory. Sunk costs are excluded from a sel...