One cost that is irrelevant in decision making is a sunk cost Group of answer choices True False

Q: Controllability has little to do with whether a cost is fixed or variable.  Select one: True False

A: Fixed cost is the cost that is related to the production of a good or services. It is the amount…

Q: Is corrective action always necessary when actual costs are higher than standard costs

A: A company which manufactures products and goods keeps a sharp eye on its costs. When the actual cost…

Q: The advantages of standard costing exceeds its disadvantages. True or false? Explain further

A: Standard Costing The primary purpose of implementing the cost accounting system to any organisation…

Q: Marginal costing can provide useful information for decision-making. However, there are limitations…

A: There are various limitations of marginal costing few of them are stated below.

Q: Any cost that is avoidable is relevant for decision purposes. O A. True O B. False

A: Relevant costs are those costs that are affected by the specific management decision being…

Q: What is lower of cost/market, and why is it used? Provide an example.

A: Inventory is a term which depicts the amount of finished goods prevailing in the business. The…

Q: Identify and explain the criticisms of using return on investment (ROI) as the onlyperformance…

A:

Q: For a cost to be relevant to decision-making, it must be:

A: Relevant costs are critical in cost analysis and decision-making because they give a clear picture…

Q: Which of the following statements about a sunk cost is false? Question 11Answer a. It is relevant to…

A: In cost accounting, several type of cost classifications are there. These are like direct costs,…

Q: ________ are the costs associated with not choosing the other alternative.A. Sunk costsB.…

A: The term "cost" alludes to the overall expense incurred in the production of goods and services as…

Q: True (t) or False (f) ______ The historical cost principle would be of limited usefulness if not…

A: Historical cost principle says that all assets and liabilities of business should be recorded at…

Q: What costs should not be considered in a decision making situation? Sunk costs Relevant costs

A: Some costs which cannot be recovered after having been incurred are not considered in decision…

Q: Obtaining regression estimates for cost estimation requires establishing the existence of a logical…

A: The objective of the question is to identify the term that is not used to refer to the activities in…

Q: Cost allocation is arbitrary, so there is nothing gained by it. We should report only the costs that…

A: Cost allocation refers to the process of distributing the single cost among various companies,…

Q: The benefit lost when choosing one option precludes receiving the benefits from an alternative…

A: Cost refers to the amount of resources (such as time, money, or effort) that are required to produce…

Q: Which type of cost occurs only with the implementation of a particular alternative? O unavoidable O…

A: Lets understand the basics.Unavoidable costs are cost which will not change due to any decision…

Q: Describe and apply the lower-of-cost-or-market rule.

A: Cost:   It is the economic value incurred by an organization to produce a product or render a…

Q: Identify at least two (2) irrelevant costs in a make vs buy decision

A: Irrelevant costs are those costs that do not change if any of the alternatives are selected between…

Q: In incremental analysis, only relevant costs are considered when making a decision among…

A: These are the cost that are specific, pertinent and relevant to a particular decision making of…

Q: Understand and apply the lower-of-cost-or-market rule.

A: Cost: It is the economic value incurred by an organization to produce a product or render a service.