Sunk costs are those costs that:
A) do not vary without output.
B) are forever lost after they have been paid.
C) can be collected even after they have been paid.
D) do vary with output.

Question

Quizplus · Accepted Answer

Sunk costs are costs that have already been incurred and cannot be recovered, regardless of future outcomes or decisions. Therefore, sunk costs are forever lost after they have been paid.

Sunk Costs Are Those Costs That