Sunk costs:
A) are not considered when evaluating new proposals.
B) differ among the alternatives.
C) impact the future.
D) are relevant.

Question

Quizplus · Accepted Answer

Sunk costs are past costs that have already been incurred and cannot be recovered, so they are not considered when evaluating new proposals. They do not differ among alternatives, do not impact the future, and are not relevant to the decision-making process.

Sunk Costs