Cost which has occurred already and not affected by decisions is classified as

A sunk cost
B occurred cost
C weighted cost
D mean cost

Correct Answer: sunk cost

Cost which has occurred already and not affected by decisions is classified as sunk cost. A sunk cost is a cost that has already been incurred and cannot be recovered. A sunk cost differs from future costs that a business may face, such as decisions about inventory purchase costs or product pricing.
Bissoy MCQ
#Commerce #Financial Management

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