Which of the Following Costs Are Always Incremental and Relevant

question 93

Multiple Choice

Which of the following costs are always incremental and relevant in decision analysis?

• A)Opportunity costs and sunk costs
• B)Sunk costs and avoidable costs
• C)Unavoidable costs and opportunity costs
• D)Relevant costs and opportunity costs

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Definitions:

Rationality

The quality of being based on or in accordance with reason or logic.

Quick Decisions

Choices or judgments made rapidly without extensive deliberation, often relying on intuition or immediate perception.

Framing

The way information is presented to the public, which can influence perception and understanding.

Issue

A point or matter of discussion, debate, or dispute, often requiring resolution or consideration.