Timeline for Could ignoring sunk costs be used to make an investment look more attractive when it's really not?
Current License: CC BY-SA 3.0
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Nov 1, 2017 at 20:05 | history | edited | lampShadesDrifter | CC BY-SA 3.0 |
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Nov 1, 2017 at 12:36 | comment | added | Grade 'Eh' Bacon | In short, you are assuming someone would start a project, and then do the NPV calculations. If you value the project beforehand, you include all costs. If you value a project after it has started, you eliminate all non-recoverable ("sunk") costs. So it may be worthwhile to continue a project, even if it turns out that it would have been better never to start it. | |
Nov 1, 2017 at 8:23 | vote | accept | lampShadesDrifter | ||
Nov 1, 2017 at 5:31 | answer | added | Brythan | timeline score: 3 | |
Nov 1, 2017 at 4:49 | review | First posts | |||
Nov 1, 2017 at 5:01 | |||||
Nov 1, 2017 at 4:47 | history | asked | lampShadesDrifter | CC BY-SA 3.0 |