8. For decision making, a listing of the relevant costs a. will help the decisio

Question

8. For decision making, a listing of the relevant costs

a. will help the decision maker concentrate on the pertinent data.
b. will only include future costs.
c. will only include costs that differ among alternatives.
d. should include all of the above.
e. should include none of the above.
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9.
(Points: 1)
Sunk costs

a. are relevant.
b. are differential.
c. have future implications.
d. are ignored when evaluating alternatives.
e. all of the above are correct.



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10.
(Points: 1)
Which of the following costs are never relevant in the decision-making process?

a. Fixed costs
b. Historical costs
c. Relevant costs
d. Variable costs
e. none of the above answers are correct.


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11.
(Points: 1)
Which of the following activities is most likely a nonvalue adding activity for a manufacturer of automobiles?

a. painting automobiles
b. shipping component parts to the assembly plant
c. pressing and cutting steel the specifications required for side panels
d. stitching and attaching seats to the body of the automobile
e. None of the above activities is nonvalue adding.

Explanation / Answer

8.b 9 d 10 b 11 e

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