Define each of the costs below as either sunk, opportunity, cash, or book: (a) Amount you could have sold a piece of equipment for last month. (b) Value claimed for tax purposes on a depreciated soda filling machine. (c) Price paid to a consultant for a feasibility study on a prospective project. (d) Monthly utility expense. (e) Salary you could have earned while you were on non-paid leave. (f) Value of floor space in a warehouse facility left empty the past 10 quarters.

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Manufacturing Costs

Manufacturing cost is the total cost of procuring or producing a product. In other words, the manufacturing cost is the cost that an individual or business owner undertakes for the manufacturing of goods.