Which of the following is a benefit given up when one decision alternative is selected over another?
A)Sunk cost
B)Controllable cost
C)Opportunity cost
D)Incremental cost

Question

Quizplus · Accepted Answer

Opportunity cost is the benefit or value that is given up when one decision alternative is chosen over another. It represents the cost of foregone opportunities and should be considered when making decisions. Sunk cost (A) is a cost that has already been incurred and cannot be recovered. Controllable cost (B) is a cost that can be directly influenced or managed by a decision-maker. Incremental cost (D) is the cost of an additional or incremental unit of a product or service.

Which of the Following Is a Benefit Given Up When