Sunk costs are ignored in decision making but information about sunk costs are usually found in the financial statements and accounting records. Opportunity costs however are not included in the financial statements of companies. Explain this.
Sunk costs are ignored in decision making but information about sunk costs are usually found in the financial statements and accounting records. Opportunity costs however are not included in the financial statements of companies. Explain this.
Chapter9: Responsibility Accounting And Decentralization
Section: Chapter Questions
Problem 21Q: Discuss the concept of controllable and uncontrollable costs and how they affect the evaluation of...
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Sunk costs are ignored in decision making but information about sunk costs are usually found in the financial statements and accounting records. Opportunity costs however are not included in the financial statements of companies. Explain this.
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