A Cost That Has Been Incurred Irrevocably by Past Actions

question 41

Multiple Choice

A cost that has been incurred irrevocably by past actions is a (an) :

• A)Capital expenditure.
• B)Incremental cost.
• C)Sunk cost.
• D)Fixed cost.

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Definitions:

Airline Industry

A sector of the economy that provides air transport services for passengers and cargo, characterized by high levels of regulation and competition.

Output

The amount of product or service that is produced within a given timeframe by a firm, industry, or economy.

Perfect Competition

A theoretical market structure featuring a large number of firms, identical products, and free entry and exit, leading to price determination by market forces.

Monopoly

A single-seller market scenario where an exclusive product is available for purchase.