Which of the Following Is an Irrelevant Cost

question 69

Multiple Choice

Which of the following is an irrelevant cost?

• A) An avoidable cost
• B) An incremental cost
• C) A sunk cost
• D) An opportunity cost

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Definitions:

Equilibrium

A state in which market supply equals market demand, such that the allocation of goods or resources is effectively balanced.

Compensating Wage Differentials

Differences in wage rates due to the non-monetary aspects of different jobs, such as risk level or working conditions.

Illegal Immigrant Workers

Illegal immigrant workers are individuals who are employed in a country without the legal authorization to work there, often facing exploitative conditions without protection under labor laws.

U.S. Workers

Refers to the labor force in the United States, consisting of individuals working or seeking employment in the country.