Which of the Following Are Potential Problems Managers Face in Relevant-Cost

question 62

Multiple Choice

Which of the following are potential problems managers face in relevant-cost analysis?

• A) Including only relevant costs and relevant revenues in an analysis
• B) incorrect assumptions such as all variable costs are relevant and all fixed costs are not
• C) considering past historical costs when making predictions about future costs
• D) examining differences in expected total future revenues and expected total future costs among alternatives

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Definitions:

Trust Fund

A legal arrangement where funds or assets are managed by a trustee on behalf of the beneficiaries, as specified in the trust agreement.

Betrayal

The act of breaking trust or confidence in a relationship, leading to emotional distress and rupture of the bond.

Vengefulness

A strong desire for revenge or payback due to real or perceived wrongs.

Transition

The process or period of changing from one state or condition to another, often involving significant personal, social, or professional changes.