Using the main points and examples describe sunk costs.

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Using the main points and examples describe sunk costs.

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Sunk costs are unrecoverable spent sums. Continuously using a bad product or following a bad plan for the purpose of not wasting money or time spent on them will actually incure more loss. To stop using a bad product or following a bad plan and invest in a new product or plan will decrease losses and prevent further sunk costs.

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