Cost: Cost refers to the expenses incurred by the business to earn revenue from sales, in other words cost is the amount given in order to get something. To identify: Weather to include or exclude the cost for the purpose of (1) pricing and product mix decision, (2) determining the appropriate charge for a government contract, and (3) for preparing financial statement.

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Chapter 2, Problem 2.46P

To determine

Cost:

Cost refers to the expenses incurred by the business to earn revenue from sales, in other words cost is the amount given in order to get something.

To identify: Weather to include or exclude the cost for the purpose of (1) pricing and product mix decision, (2) determining the appropriate charge for a government contract, and (3) for preparing financial statement.

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