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taurus [48]
3 years ago
15

You spent $500 last week fixing the transmission in your car. Now, the brakes are acting up, and you are trying to decide whethe

r to fix them or trade the car in for a newer model. In analyzing the brake situation, the $500 you spent fixing the transmission is a(n) _____ cost.
Business
1 answer:
svetoff [14.1K]3 years ago
8 0

Answer: Sunk cost

Explanation:

Sunk cost also sometimes referred to as past cost is a cost that has already been spent by an individual or firm and cannot be recovered.

From the question, if $500 was spent last week in fixing the transmission in a car and the brakes are now acting up, and one has to decide qwhether to fix them or trade the car in for a newer model.

The amount spent on the brake situation in this case is a sunk cost as it has already been incurred and nothing can be done about it anymore.

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tamaranim1 [39]

Companies that use job-order costing make unique products.

<h3>What is job-order costing?</h3>

Job order costing can be defined as a costing method that is used to calculate the cost of each unique item  produce or the cost of producing each unique product that is different from the ones in the market.

Example companies can make use of job-order costing when they produce a unique bag or shoe for their customer.

Since this product they produce for this customer is unique, the manufacturer can tend to use job order costing to determine the price or selling price they will to charge the customer.

A company can use a job order cost method if it produce products with unique characteristics.

Inconclusion companies that use job-order costing make unique products.

Learn more about  job-order costing here: brainly.com/question/24516871

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What is the value of an annuity due at the end of 15 years of quarterly deposits of $2,000.00 with terms of 8 percent compounded
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