_______________ are the costs associated with not choosing the other alternative Sunk costs
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A: Part (a)
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_______________ are the costs associated with not choosing the other alternative
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- Which type of incurred costs are not relevant in decision-making (i.e., they have no bearing on future events) and should be excluded in decision-making? A. avoidable costs B. unavoidable costs C. sunk costs D. differential costsConsider the following statements concerning costs. 1. A committed cost cannot vary with the decision. 2. An outlay cost cannot vary with the decision. Are the above statements true or false?Which of the following statements is false? (You may select more than one answer.)a. Under some circumstances, a sunk cost may be a relevant cost.b. Future costs that do not differ between alternatives are irrelevant.c. The same cost may be relevant or irrelevant depending on the decision context.d. Only variable costs are relevant costs. Fixed costs cannot be relevant costs.
- Which type of incurred costs are not relevant in decision-making (i.e., they have no bearing on future events) and should be excluded in decision-making? Group of answer choices A. avoidable costs B. unavoidable costs C. sunk costs D. differential costsThe potential benefit of one alternative that is lost by choosing another is known as a. An alternative cost. d. An opportunity cost. b. A sunk cost. e. An out-of-pocket cost. c. A differential cost.Which of the following is an irrelevant cost? Group of answer choices An avoidable cost An incremental cost A sunk cost An opportunity cost
- In a decision analysis situation, which one of the following costs is generally not relevant to the decision?A. Differential cost.B. Avoidable cost.C. Incremental cost.D. Historical cost.‘Costs maybe classified in a different type of behavioural costs such as variable and fixed costs according to their nature and usage. Variable costs are controllable, on contrary fixed costs are not’. Do you agree with this statement? Justify.Is there a difference between relevant costs and incremental costs? Explain. Identify at least two (2) irrelevant costs in a make vs buy decision
- ‘Costs maybe classified in a different type of behavioural costs such as variable and fixed costs according to their nature and usage. Variable costs are controllable, on contrary fixed costs are not’. Do you agree with this statement? Why?Do you agree from the following statements- Explain in details with examples 1.Variable costs are controllable but fixed costs are not. 1.Sunk costs are irrelevant cost while making any decision.A cost that cannot be changed because it arises from a past decision and is irrelevant to future decisions is a. An uncontrollable cost. d. An opportunity cost. b. An out-of-pocket cost. e. An incremental cost. c. A sunk cost.