Costs that are unavoidable and remain unchanged no matter what done are classified as

A sunk costs
B bunked costs
C unrecorded costs
D recorded costs

Correct Answer: sunk costs

Costs that are unavoidable and remain unchanged no matter what done are classified as sunk costs. A sunk cost is a cost that an entity has incurred, and which it can no longer recover. Sunk costs should not be considered when making the decision to continue investing in an ongoing project, since these costs cannot be recovered.
Bissoy MCQ
#Management #Management Accounting

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