Sunk Costs Refer to

question 34

Multiple Choice

Sunk costs refer to

• A)costs that were incurred in the past and cannot be recovered and thus should not affect current decisions.
• B)all the costs that a firm must incur in the process of production.
• C)the costs that change proportionately with a change in the output.
• D)the quantities of a good that are given up to obtain one unit of another good.

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Definitions:

Individual Productivity

The rate or efficiency at which an individual can complete tasks and achieve goals.

Maslow's Hierarchy

A theory of human motivation proposed by Abraham Maslow, which is often depicted as a pyramid with five levels of needs, from basic physiological needs to self-actualization at the top.

Human Relations Movement

A management approach emphasizing the importance of social dynamics, employee welfare, and the human needs in the workplace for enhancing productivity.

Classical Management Approach

A theory that emphasizes a structured, formal network of relationships among specialized positions in order to accomplish organizational goals.