This chapter only have four questions in the bpp book but some of the words seems very unfamiliar to me. I have not watch any lecture that included an explanation on sunk cost and relevant cost nor can i find them in the notes. How do i deal with the questions?
Ask the Tutor ACCA MA
Concerning chapter 12a Capital expenditure budgeting on page 91 BPP book
6y ago#1These terms are more relevant to Paper PM than to Paper MA.
Relevant costs are the future extra cash flows resulting from doing a project.
Sunk costs are costs that have already been spent and are therefore irrelevant to the decision.
Sign in to reply to this topic.