题目内容

Which of the following costs are always irrelevant in decision making?

A. avoidable costs
B. sunk costs
C. opportunity costs
D. fixed costs

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Costs that can be eliminated in whole or in part if a particular business segment is discontinued are called:

A. sunk costs.
B. opportunity costs.
C. avoidable costs.
D. irrelevant costs.

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Accepting a special order will improve overall net operating income if the revenue from the special order exceeds:

A. the contribution margin on the order.
B. the incremental costs associated with the order.
C. the variable costs associated with the order.
D. the sunk costs associated with the order.

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United Industries manufactures a number of products at its highly automated factory. The products are very popular, with demand far exceeding the factory's capacity. To maximize profit, management should rank products based on their:

A. gross margin
B. contribution margin
C. selling price
D. contribution margin per unit of the constrained resource

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In a sell or process further decision, consider the following costs: I. A variable production cost incurred prior to split-off.II. A variable production cost incurred after split-off.III. An avoidable fixed production cost incurred after split-off. Which of the above costs is (are) not relevant in a decision regarding whether the product should be processed further?

A. Only I
B. Only III
C. Only I and II
D. Only I and III

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Which of the following costs are always irrelevant in decision making?

A. avoidable costs B. sunk costs C. opportunity costs D. fixed costs

Costs that can be eliminated in whole or in part if a particular business segment is discontinued are called:

Accepting a special order will improve overall net operating income if the revenue from the special order exceeds:

United Industries manufactures a number of products at its highly automated factory. The products are very popular, with demand far exceeding the factory's capacity. To maximize profit, management should rank products based on their:

A. avoidable costs
B. sunk costs
C. opportunity costs
D. fixed costs