Which of the following is those costs that have already been incurred or are going to be incurred regardless of whether or not the investment is undertaken.
A)Depreciation tax shield
B)Sunk costs
C)Opportunity costs
D)Overhead expenses

Question

Quizplus · Accepted Answer

Sunk costs are those costs that have already been incurred and cannot be recovered, even if the investment is not undertaken. They are irrelevant for decision making as they have no impact on future costs or benefits.

Which of the Following Is Those Costs That Have Already