Question

Costs incurred before the split-off point are a. incremental costs. b. relevant costs. c. opportunity costs....

Costs incurred before the split-off point are

a. incremental costs.

b. relevant costs.

c. opportunity costs.

d. sunk costs.

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Answer #1

Answer: Sunk cost

Joint cost before the Split-off Point is Consider as the Sunk cost . As this Costis irrelevant to the Decision. This Cost is not considered for the Pricing Decision Etc.

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