The Ethical "No Free Lunch" Rule States That

question 89

Multiple Choice

The ethical "no free lunch" rule states that:

• A)if an action cannot be taken repeatedly,then it is not right to be taken at any time.
• B)one should take the action that produces the least harm or incurs the least cost.
• C)one can put values in rank order and understand the consequences of various courses of action.
• D)if something someone else has created is useful to you,it has value,and you should assume the creator wants compensation for this work.
• E)if an action is not right for everyone to take,it is not right for anyone to take.

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Definitions:

Sunk Costs

Costs that have already been incurred and cannot be recovered or altered, and thus should not affect future business decisions.

Side-Effect Costs

Unintended expenses or losses that occur as a result of business decisions, not directly related to the project in question.

Incremental Overhead

Additional overhead costs that are incurred when an organization increases its production volume or undertakes new activities.

Financing Costs

Expenses incurred by a company in the process of raising capital through debts and/or equity, including interest payments and commissions.