Costs that have already been incurred and are non-recoverable should be included in marginal cost calculations.

Name: Costs that have already been incurred and are non-recoverable should be included in marginal cost calculations.
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Question

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Marginal cost calculations should only include costs that will be incurred as a result of producing one more unit of a good or service, not costs that have already been incurred and are non-recoverable, which are considered sunk costs.

Costs That Have Already Been Incurred and Are Non-Recoverable Should