What type of cost has NO impact on determining the profit-maximizing sales quantity?
A) Avoidable fixed costs
B) Sunk fixed costs
C) Variable costs
D) Average variable costs

Question

Quizplus · Accepted Answer

Sunk fixed costs are costs that have already been incurred and cannot be recovered, so they have no impact on determining the profit-maximizing sales quantity. Avoidable fixed costs, variable costs, and average variable costs all have an impact on determining the profit-maximizing sales quantity.

What Type of Cost Has NO Impact on Determining the Profit-Maximizing