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Why do hot spots form a trail of extinct volcanoes over time?
Sunk Costs
Costs that have already been incurred and cannot be recovered or refunded, and should not influence current or future decisions.
Variable Costs
Costs that change in proportion to the level of production or service activity.
Fixed Costs
Expenses that remain constant regardless of the amount of production, like lease payments or wages.
Marginal Costs
The cost of producing one additional unit of a product, which varies depending on the level of production.
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