Is one that can be avoided or eliminated by making a decision not to invest, or to cease investing. Because these costs may be different among options, they will berelevant costs that will need to be addressed if the costs are differentamong the options.Select the correct response:Sunk CostsCommitted CostCommon CostAvoidable CostFixed CostImputed Cost

Avoidable cost are relevant cost which will cease to exist if the activity ceases to exist. They…

Is one that can be avoided or eliminated by making a decision not to invest, or to cease investing. Because these costs may be different among options, they will b relevant costs that will need to be addressed if the costs are different among the options. Select the correct response: Sunk Costs Committed Cost Common Cost Avoidable Cost Fixed Cost Imputed Cost

Is one that can be avoided or eliminated by making a decision not to invest, or to cease investing. Because these costs may be different among options, they will b relevant costs that will need to be addressed if the costs are different among the options. Select the correct response: Sunk Costs Committed Cost Common Cost Avoidable Cost Fixed Cost Imputed Cost

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter10: Short-term Decision Making

Section: Chapter Questions

Problem 2MC: Which type of incurred costs are not relevant in decision-making (i.e., they have no bearing on...

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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 costs
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.
The 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 would not be relevant in a make or buy decision? Unavoidable variable costs Incremental fixed costs Avoidable fixed costs Opportunity costs
Which of the following best describes an "opportunity cost"? Group of answer choices costs that were incurred in the past and cannot be changed The distribution of all products to be sold Expected future costs that differs among alternatives Benefits foregone by not choosing an alternative course of action
_______________ are the costs associated with not choosing the other alternative Sunk costs Opportunity costs Differential costs Avoidable costs
Sunk costs are easy to spot---they're the fixed costs associated with a decision. Do you agree? Please explain the reasoning for your answer.
Which one of the following statement is not correct? Group of answer choices -Opportunity costs are only considered when resources are limited. -Break-even analysis is used to determine how many units of a product or a service a business has to sell to cover all its costs. -Both fixed and variable costs influence short-term decision-making. -Short-term decision-making is all about analysing those costs that will change as a result of taking a particular action.
Future costs that do not differ among the alternatives at hand are not relevant in the given decision-making situation. true or false? please answer immediately
“Sunk costs are easy to spot—they’re simply the fixed costs associated with a decision.” Do youagree? Explain
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 costs
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.