Explain the Importance of Differential Cost, Opportunity Cost & Sunk Cost

Do you believe a firm must have a firm grasp of the concepts of differential cost, opportunity cost and sunk cost to be effective in making business decisions? Please be sure that your first post talks about these three different types of costs. Consider giving examples - especially if you have examples within your own employment experience. Please use credible online sources such as accounting firms and universities in the U.S. Please cite any resources that you use and include the links to their websites.

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