Asked by Sydney Horton on Jun 13, 2024
Verified
The sunk cost in this situation is:
A) $10,000
B) $26,800
C) $11,200
D) $0
Sunk Cost
Expenses that have already been incurred and cannot be recovered or altered, which should not affect future business decisions.
- Identify sunk costs and their relevance in decision-making.
Verified Answer
AC
Anthony CsargoJun 15, 2024
Final Answer :
B
Explanation :
The carrying value of the calculators is their original cost, which is a sunk cost.
Learning Objectives
- Identify sunk costs and their relevance in decision-making.
Related questions
The Manager Who Wishes to Diffuse Responsibility for a Potentially ...
Permanently Lost Resources That Often Enter Inappropriately into Subsequent Decision ...
Constantine Purchased 100 Shares of IBM Stock Several Years Ago ...
Prospective Sunk Costs ...
Escalation of Commitment to a Failing Course of Action ...