For a cost or revenue to be relevant to a particular decision, the cost or revenue...
For a cost or revenue to be relevant to a particular decision, the cost or revenue must
A. differ between the alternatives being considered
B. be a past cost
C. be a future cost
D. both a and c are correct
Homework Answers
The answer is
D.both a and c are correct
For being a relevant cost or revenue, it should differ between the alternatives
And it should be a future cost
Past cost already incurred are sunk costs and are not relevant
Same costs and Revenues will offset themselves and hence are not relevant
Add Answer to:
For a cost or revenue to be relevant to a particular decision,
the cost or revenue...
For a cost to be relevant, it must meet which of the following criteria? (Please Choose...
For a cost to be relevant, it must meet which of the following criteria? (Please Choose One) A) It must differ between the decision alternatives and it must be incurred in the future rather than in the past. B) It must not differ between the decision alternatives and it must be incurred in the future rather than in the past. C) It must differ between the decision alternatives and it must have occurred in the past rather than in the...
Kindly provide an explanation as to what are the main concepts pertaining to arriving at relevant...
Kindly provide an explanation as to what are the main concepts pertaining to arriving at relevant costing and discuss how these principles might apply to a manufacturing company. Answer: A relevant cost is a current or future cost that will differ among alternatives. For example, relevant cost of material is the raw material cost that needs to be considered while taking a managerial decision. Relevant cost of material may be in the form of incremental cash flows or opportunity cost....
Relevant costs in decision-making: are future costs that represent differences between decision alternatives. result from past...
Relevant costs in decision-making:
are future costs that represent differences between decision alternatives. result from past decislons. O should not influence the decislon. O none of the above.
relevant in comparing decision alternatives o all of the above costs would be considered relevant in...
relevant in comparing decision alternatives o all of the above costs would be considered relevant in comparing decision alternatives Question 2 3.5 pts AG-2m Company reported the following cost information: Cost A Cost B Cost C Units sold June $19,740 $55,020 $37,380 42,000 units July $35,720 $99,560 $37,380 76,000 units Which of the above costs would be classified as a mixed cost? Cost A O Cost B O Cost C both Cost A and Cost B are mixed costs all...
True or False: Future costs that do not differ between the alternatives are never relevant in...
True or False: Future costs that do not differ between the alternatives are never relevant in a decision.
Which of the following is not a relevant cost to a management decision? a. Future b....
Which of the following is not a relevant cost to a management decision? a. Future b. Differential c. Quantifiable d. None of above
Decision Making Extra Credit 1. Another name for relevant cost is avoidable cost a. True b....
Decision Making Extra Credit 1. Another name for relevant cost is avoidable cost a. True b. False 2. Wages from a job a student gives up to attend summer school would be a sunk cost a. True b. False 3. A special order of goods or services should always be accepted when the incremental revenue exceeds the normal revenue. a. True b. False 4. Employee morale, timeliness of delivery, and the reactions of customers are examples of nonfinancial factors which...
Maddox, a division of Stanley Enterprises, currently performs computer services for various departments of the firm....
Maddox, a division of Stanley Enterprises, currently performs computer services for various departments of the firm. One of the services has created a number of operating problems, and management is exploring whether to outsource the service to a consultant. Variable and fixed operating costs total $100,000 and $50,000, respectively. In addition, Stanley allocates $20,000 of corporate administrative overhead to Maddox. If Maddox were to use the outside consultant, fixed operating costs would be reduced by 70%. 24. The irrelevant costs...
The revenue and cost functions for a particular product are given below.
The revenue and cost functions for a particular product are given below. The cost and revenue are given in dollars, and x represents the number of unitsR(x)=-0.8x2+608xC(x)=256x+36720(a) How many items must be sold to maximize the revenue?(b) What is the maximum revenue?(c) Find the profit function.(d) How many items must be sold to maximize the profit?(e) What is the maximum profit?(f) At what production level(s) will the company break even on this product?
A. Management's Decision-Making Process. 1. The steps are: a. b. c. d. 2. Accounting's contribution to...
A. Management's Decision-Making Process. 1. The steps are: a. b. c. d. 2. Accounting's contribution to the decision-making process occurs primarily in what steps? B. Incremental Analysis. 1. 2. 3. Incremental analysis sometimes involves changes that might seem contrary to your intuition. For example, sometimes: a. b. Accept an order at a special price. 4. a. b. c. a. 5. Make or buy. In a make or buy decision, the relevant costs are: (1) (2) (3) 6. Sell or process...
Relevant costs in decision-making:
are future costs that represent differences between decision alternatives. result from past decislons. O should not influence the decislon. O none of the above.
relevant in comparing decision alternatives o all of the above costs would be considered relevant in comparing decision alternatives Question 2 3.5 pts AG-2m Company reported the following cost information: Cost A Cost B Cost C Units sold June $19,740 $55,020 $37,380 42,000 units July $35,720 $99,560 $37,380 76,000 units Which of the above costs would be classified as a mixed cost? Cost A O Cost B O Cost C both Cost A and Cost B are mixed costs all...
Decision Making Extra Credit 1. Another name for relevant cost is avoidable cost a. True b. False 2. Wages from a job a student gives up to attend summer school would be a sunk cost a. True b. False 3. A special order of goods or services should always be accepted when the incremental revenue exceeds the normal revenue. a. True b. False 4. Employee morale, timeliness of delivery, and the reactions of customers are examples of nonfinancial factors which...
A. Management's Decision-Making Process. 1. The steps are: a. b. c. d. 2. Accounting's contribution to the decision-making process occurs primarily in what steps? B. Incremental Analysis. 1. 2. 3. Incremental analysis sometimes involves changes that might seem contrary to your intuition. For example, sometimes: a. b. Accept an order at a special price. 4. a. b. c. a. 5. Make or buy. In a make or buy decision, the relevant costs are: (1) (2) (3) 6. Sell or process...
Most questions answered within 3 hours.
-
Suppose that you are given the following results. Find the
correlation coefficient of the data.
sx...
asked 1 minute from now -
The width of a tool used for semiconductor manufacturing
is assumed to be normally distributed with...
asked 32 seconds ago -
A
runaway train car that has a mass of 1,400 kg travels at a speed of...
asked 4 minutes ago -
The expected abnormal earnings of a firm that has earnings of
$40,000 with a required equity...
asked 3 minutes ago -
A spherical surface completely surrounds a collection of
charges. Find the electric flux through the surface...
asked 18 minutes ago -
Two capacitors with capacitances of 12 and 18.1 µF,
respectively, are connected in parallel. The system...
asked 5 minutes ago -
Let's say you are a small business owner that provides
business-to-business software-as-a-service to non-profit
organizations. Your...
asked 9 minutes ago -
A circuit is constructed with five resistors and a battery as
shown. The battery voltage is...
asked 17 minutes ago -
A. What is the U.S.
economic system and what do you think are the advantages and...
asked 18 minutes ago -
A student measures the following data in a calorimetry
experiment designed to determine the specific heat...
asked 32 minutes ago -
1) 2H2O(g) → 2H2 (g) + O2 (g) DH = 483.6 kJ
If 5 moles of...
asked 37 minutes ago -
Suppose that Alicia has $30,000 in invested as follows: $10,000
in TJX Cos., $15,000 in Macy’s,...
asked 52 minutes ago