Which of the following is an irrelevant cost?
A) An avoidable cost
B) An incremental cost
C) A sunk cost
D) An opportunity cost

Question

Quizplus · Accepted Answer

A sunk cost is a cost that has already been incurred and cannot be recovered or changed. It is irrelevant when making current or future decisions because it cannot be altered. The other options (avoidable cost, incremental cost, and opportunity cost) are relevant costs that can impact decision-making.

Which of the Following Is an Irrelevant Cost