Denaro pays $8,000 per month in rent to operate a health club in Memphis.He also pays $17,000 per month in wages, $3,000 per month in food and supplies, and $1,000 per month in insurance.All of his costs of production except his insurance and rent can change if he makes different decisions
about his health club production.Denaro's sunk costs equal:
A.$20,000 per month.
B.$11,000 per month.
C.$29,000 per month.
D.$9,000 per month.

Question

Quizplus · Accepted Answer

The Answer of Denaro pays $8,000 per month in rent to operate a health club in Memphis.He also pays $17,000 per month in wages, $3,000 per month in food and supplies, and $1,000 per month in insurance.All of his costs of production except his insurance and rent can change if he makes different decisions
about his health club production.Denaro's sunk costs equal:
A.$20,000 per month.
B.$11,000 per month.
C.$29,000 per month.
D.$9,000 per month.

Denaro Pays $8,000 Per Month in Rent to Operate a Health