When a Decision Is Made Among a Number of Alternatives,the

question 15

Multiple Choice

When a decision is made among a number of alternatives,the benefit that is lost by choosing one alternative over another is called what?

• A) Realized cost.
• B) Opportunity cost.
• C) Conversion cost.
• D) Accrued cost.

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Definitions:

Transportation Costs

The expenses associated with the movement of goods or passengers from one location to another.

Facility Costs

Expenses related to the physical buildings and infrastructure used in the manufacturing, storage, and distribution processes in a supply chain.

Flexible Technology

Technology that can be easily adapted or adjusted to support varying operational or production requirements.

Manufacturing Consolidation

The process of merging multiple manufacturing processes, facilities, or units into a more coherent and efficient operation.