question archive 42) With sunk costs, a

42) With sunk costs, a

Subject:ArtsPrice: Bought3

42) With sunk costs,

a. sellers are more certain about market demand than past expenditures

b. past expenditures are irrelevant to future decisions

c. when all sellers in a market use sunk-cost pricing, competition will be intense

d. variable and fixed costs are kept confidential, to help maintain competitive advantage e. marketing opportunities may be "sunk" due to poor strategic investment decisions

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