It will affect the investment and the interest rate when people consume more, investments will increase as they buy more products. An increase in consumer confidence would result to an increase in consumption of goods and commodities. The interest rate will higher as the demand for capital also rises and consumer spending rises due to the demand also arises.
Answer:
a. sunk costs.
Explanation:
Sunk cost is the amount which is already invested or incurred before any project is initiated. This cost is permanently lost and cannot be recovered. The business managers avoid incorporating sunk cost in decision making process.
The correct answer is sunk cost because it doesn't complicate capital investment analysis. These costs are not considered when making business decisions or analysis of capital investments.
Answer:
Variable cost
Explanation:
because sometimes companies set fixed price to other product
