IT rojsek management Basic principles of cost management (3) Sunk cost Is money that has been spent in the past a Consider it gone like a sunken ship that can never be returned The rule is -when deciding what project to invest in or continue, you should not include sunk costs Project Cost Management 13Project Cost Management 13 Basic Principles of Cost Management (3) ◼ Sunk cost ◼ Is money that has been spent in the past. ◼ Consider it gone, like a sunken ship that can never be returned. ◼ The rule is – when deciding what project to invest in or continue, you should not include sunk costs IT Project Management