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Systems Analysis and Design (Shell...

11th Edition
Scott Tilley + 1 other
ISBN: 9781305494602

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BuyFindarrow_forward

Systems Analysis and Design (Shell...

11th Edition
Scott Tilley + 1 other
ISBN: 9781305494602
Textbook Problem

Why is it difficult to assign a dollar figure to an intangible cost? Can it ever be done? Explain your answer, and provide an example.

Program Plan Intro

Difficulty to assign a dollar figure to intangible cost, an example to assign a dollar figure to an intangible cost.

Program Explanation

Intangible cost cannot be quantified easily so it is not fair to associate dollar to all types of intangible cost. Intangible cost includes a wide variety of assets such as security investments, partnership interests, life insurance contracts and it is not practical enough to associate a dollar value to these assets. Dollar figures fluctuate due to inflation rates, hence, it is not possible to assign dollar to every intangible cost...

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