Suppose that a grocery store has to constantly keep changing the list price of all the products that it sells because of inflation. The costs that are associated with this are known as _____ costs.
A) menu
B) sunk
C) variable
D) shoe-leather

Question

Quizplus · Accepted Answer

The costs associated with frequently changing prices due to inflation are known as menu costs. These include the physical costs of changing price tags and the administrative costs of updating systems and communicating changes.

Suppose That a Grocery Store Has to Constantly Keep Changing