Sunk cost is a kind of cost that: none of the above you can get refund...
Sunk cost is a kind of cost that:
none of the above
you can get refund from your accountant
you cannot recover as it has been expended
will be used in the coming year
Homework Answers
Option C.
- A sunk cost can be defined as that cost which has already been used up or spent and therefore cannot be directed elsewhere.
- It is a cost which remains the same through the business process regardless of the outcome of any decision.
- Therefore we can define it as a cost which cannot be recovered as it has been expended.
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