An additional cost incurred only if a particular action is taken is a(n):
A) Period cost.
B) Pocket cost.
C) Discount cost.
D) Incremental cost.
E) Sunk cost.

Question

Quizplus · Accepted Answer

Incremental cost is the cost that is incurred only if a particular action is taken. It is also known as differential cost or marginal cost. The other choices are not related to this concept.

An Additional Cost Incurred Only If a Particular Action Is