Question

suppose walker publishing company is considering bringing out a new finance text whose projected revenues include some revenues that will be taken away from another of walkers books. the lost sales on the older book are a sunk cost and as such should not be considered in the analysis for the new book.
true
false

Explanation:

Sunk costs are past costs that can't be changed. But the lost sales from the older book due to the new book are cannibalization (a relevant cost, as it's an opportunity cost of the new project), not a sunk cost. So the statement is false.

Answer:

False