Multiple Choice
The Specialty T-shirt Company is now operating at capacity. It is considering taking in a special order to make 5,000 "Spring Break" T-shirts, which it can sell at $30 each. If it makes these shirts, it will have to make 5,000 fewer regular T-shirts, which sell at $10 each. The reduction in revenue due to making fewer regular t-shirts is an example of
A) Opportunity cost
B) Sunk cost
C) Outlay cost
D) Irrelevant cost
Correct Answer:
Verified
Correct Answer:
Verified
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