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.