Which of the Following Would Be an Example of a Sunk

question 39

Multiple Choice

Which of the following would be an example of a sunk cost?

• A)The cost of a new oil burner that replaced a destroyed one
• B)The cost of an old inefficient oil burner that will be replaced by a more modern and efficient one
• C)Depreciation expense
• D)Lost revenue from a bad debt

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Definitions:

Genetic Drift

A mechanism of evolution that involves random changes in the gene frequencies of a population over time.

Population Size

The total number of individuals within a species that occupy a particular geographic area.

Genetic Drift

A mechanism of evolution that causes allele frequencies within a population to change randomly with time due to chance events.

Natural Selection

A process by which species evolve over time as individuals with traits more suited to their environment are more likely to survive and reproduce.