A cost that will not be affected by later decisions is termed:
A)historical cost.
B)differential cost.
C)sunk cost.
D)replacement cost.

Question

Quizplus · Accepted Answer

Sunk costs are costs that have already been incurred and cannot be recovered or influenced by future decisions. They are past expenses that are not relevant to decisions about future costs and benefits. Therefore, sunk costs will not be affected by later decisions.

A Cost That Will Not Be Affected by Later Decisions