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If Debbie stares at an illustration of the American flag for a while and then glances at a blank, white page, she will be able to view the image of the flag, but the red stripes will turn green on the blank page. Which of the following statements best explains this phenomenon?
Sunk Cost
A cost that cannot be changed by any present or future decision.
Book Value
The difference between the cost of a depreciable asset and its related accumulated depreciation.
Opportunity Cost
The potential benefit that may be obtained from following an alternative course of action.
Nonfinancial Information
Information that is not monetary in nature, such as customer satisfaction, employee turnover, and operational efficiency, used in decision making.
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