If a Firm Has Already Paid an Expense or Is

question 114

Multiple Choice

If a firm has already paid an expense or is obligated to pay one in the future,regardless of whether a particular project is undertaken,that expense is a(n) :

• A)incremental cash outflow.
• B)opportunity cost.
• C)sunk cost.
• D)expensable item.

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Definitions:

Work Sharing

A strategy aiming to reduce layoffs during slow periods by enabling employees to work reduced hours while partly compensating their reduced earnings with unemployment benefits.

Weekly Hours

The number of hours scheduled for work or assignment within a week.

Telecommuting Program

A work arrangement that allows employees to perform their job duties from outside the traditional office environment, often from home, facilitated by technological tools.

Satellite Office

denotes a secondary office located away from a company's main office, used to accommodate remote employees or serve different geographical areas.