Since the costs of producing an intermediate product do not change regardless of whether the intermediate product is sold or processed further, these costs are not considered in deciding whether to further process a product.

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Alicia Bruce-Romo · Accepted Answer

Final Answer : True, Explanation :  This statement is true. The costs of producing an intermediate product do not change regardless of whether it is sold or processed further, which means they are considered a sunk cost and do not impact the decision to further process a product.

Since the costs of producing an intermediate product do not change regardless of whether the intermediate product is sold or processed further, these costs are not considered in deciding whether to further process a product.

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