A capital budgeting project's sunk costs and opportunity costs are both relevant to the project investment decision.

Name: A capital budgeting project's sunk costs and opportunity costs are both relevant to the project investment decision.
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Sunk costs are not relevant to the project investment decision because they have already been incurred and cannot be recovered. Opportunity costs, however, are relevant because they represent the benefits foregone by choosing one investment over another.

A Capital Budgeting Project's Sunk Costs and Opportunity Costs Are