A cost that cannot be changed by any present or future decision is a(n)
A) incremental cost.
B) opportunity cost.
C) sunk cost.
D) variable cost.

Question

A cost that cannot be changed by any present or future decision is a(n)
A) incremental cost. 
B) opportunity cost.
C) sunk cost.
D) variable cost.

Quizplus · Accepted Answer

A sunk cost is a cost that has already been incurred and cannot be recovered or changed, regardless of any future decisions made. Therefore, it is the only option that fits the description given in the question. Incremental cost, opportunity cost, and variable cost are all costs that may be affected by present or future decisions.

A Cost That Cannot Be Changed by Any Present or Future