Which of the Following Is NOT a Decision-Making Approach

question 13

Multiple Choice

Which of the following is NOT a decision-making approach?

• A) rational decision-making
• B) limited decision-making
• C) extended decision-making
• D) habitual decision-making

---

Definitions:

First-In, First-Out

An accounting method where the first items added to inventory are the first ones to be sold or removed, particularly relevant for cost calculation.

Equivalent Units

A concept used in process costing that represents the portion of finished units that would have been completed given the work done on incomplete units.

First-In, First-Out

An inventory valuation method that assumes goods or materials purchased first are sold or used first.

Conversion Costs

Costs incurred to convert raw materials into finished products, including direct labor costs and manufacturing overhead.