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8 February, 04:10

If the manager of a firm considers a sunk cost as part of a decision going forward, then she is

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  1. 8 February, 04:20
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    If the manager of a firm considers a sunk cost as part of a decision going forward, then she is making the optimal decision for the firm. A sunk cost is a cost that has been incurred and cannot be recovered. In accounting, a sunk cost is a type of irrelevant cost.
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