When Deciding to Accept or Reject a Special Order, Which

question 94

Multiple Choice

When deciding to accept or reject a special order, which of the following costs is most likely to be irrelevant?

• A)The wages of direct labor to make the order
• B)Depreciation on the machinery used to make the order
• C)The raw material used to make the order
• D)The electricity used to run the machine to make the order

---

Definitions:

Petty Cash Fund

A minor sum of money maintained in reserve to cover minor, immediate costs.

Cash Over and Short

An account that records discrepancies between actual cash received and the expected amount, reflecting errors or theft.

Petty Cash Fund

A small amount of cash kept on hand for making immediate payments for miscellaneous, small expenses.

Expense Accounts

Categories within financial accounting where expenses are recorded and tracked.