Select the Incorrect Statement Regarding Sunk Costs

question 13

Multiple Choice

Select the incorrect statement regarding sunk costs.

• A) Sunk costs cannot be avoided.
• B) Sunk costs are relevant if they differ between the alternatives.
• C) Sunk costs are costs that have been incurred in past transactions.
• D) Sunk costs include historical costs such as equipment acquisition costs.

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Definitions:

SLII

Stands for Situational Leadership II, a leadership model that proposes the need to adjust the leadership style based on the maturity and competency level of the followers.

Skills

The abilities and expertise one acquires through practice and education to perform a particular task or job effectively.

Motivation

The process that initiates, guides, and maintains goal-oriented behaviors, it is what causes us to act, whether it is getting a glass of water to reduce thirst or reading a book to gain knowledge.

Enthusiastic Beginner

Refers to an individual who is new to a task or role and shows high levels of enthusiasm and commitment, but has low skill or experience.