Feb 27, 2025 · Sunk costs are expenses, whether time, money, or effort that can't be recovered, yet they often influence future decisions—much to the detriment of the individual or business.

In other words, a sunk cost is a sum paid in the past that should no longer be relevant to decisions about the future.

What is a Sunk Cost? A sunk cost is a cost that has already occurred and cannot be recovered by any means. Sunk costs are independent of any event and should not be considered when …

sunk cost, in economics and finance, a cost that has already been incurred and that cannot be recovered. In economic decision making, sunk costs are treated as bygone and are not taken …

Nov 2, 2025 · A sunk cost is a cost that an entity has incurred, and which it can no longer recover. Sunk costs should not be considered when making the decision to continue investing in an …

Jul 18, 2025 · Sunk costs represent money that has already been spent or committed but cannot be recovered. Examples include salaries, insurance premiums, rent payments, and …

What is a sunk cost? A sunk cost is a cost that was incurred in the past and cannot be undone. Since most transactions cannot be undone, most amounts spent in the past are sunk. A past …

Guide to what is Sunk cost. Here we explain the concept along with its importance, formula, example, and differences with opportunity cost.

Sunk costs differ from future costs, which can still be influenced by current or future decisions. The concept of sunk costs is crucial because it emphasizes the importance of focusing on …

Jul 25, 2025 · Sunk costs are past expenses that can't be recovered, often leading to poor decisions. Learn how to avoid the sunk cost fallacy in investing and business.