Accounting: What the Numbers Mean 9th Edition by Wayne W McManus, Daniel F Viele, David H Marshall

Exercise 76

For the following questions, circle the best response.

A sunk cost is a cost that

a. is always relevant in decision making.

b. can be relevant in decision making depending on the circumstances.

c. is never relevant in decision making.

d. can be recovered in the future.

e. None of the above.