(Consider This) Which of the following is an example of a sunk cost, as it relates to a firm?

Question

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A sunk cost is a cost that has already been incurred and cannot be recovered. An expenditure on a nonrefundable, nontransferable airline ticket is an example of a sunk cost, as the money spent cannot be recovered. Options A, C, and D are not sunk costs, as they relate to assets or resources that can potentially provide future benefits to the firm.

(Consider This) Which of the Following Is an Example of a Sunk