Question: Explain why sunk costs should not be included in a capital budgeting analysis but opportunity costs and externalities should be included. Give an example of

Explain why sunk costs should not be included in a capital budgeting analysis but opportunity costs and externalities should be included. Give an example of each.

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Explain why sunk costs should not be included in a capital budgeting analysis, but opportunity costs and externalities should be included.

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