Which one of the following is an example of a sunk cost? Multiple Choice $1,200 paid to repair a machine last year $20,000 project that must be forfeited if another project is accepted $1,500 of lost sales because an item was out of stock $1,800 increase in comic book sales if a store ceases selling puzzles $4,500 reduction in current shoe sales if a store commences selling sandals

Respuesta :

Answer:

$1,200 paid to repair a machine last year

Explanation:

Sunk cost is cost that has already been incurred and cannot be recovered. Sunk cost should not be considered when making future decisions.

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