For Purposes of Decision Making,avoidable Costs Are Costs That

question 105

Multiple Choice

For purposes of decision making,avoidable costs are costs that:

• A) were incurred in the past.
• B) will not be incurred in the future,regardless of the alternative chosen.
• C) differ between alternatives.
• D) None of the above.

---

Definitions:

Reasonable Care

A legal standard that requires individuals or entities to act with the caution and diligence that a prudent person would under similar circumstances.

Bailment

The transfer of possession of personal property from one person to another with the understanding that the property will be returned.

Mutuum

An ancient legal term referring to a loan agreement where one party agrees to lend something that must be returned in kind and quantity, typically involving consumables.

Sole Benefit

refers to the principle that an action or decision must be made with the intention of benefiting only the specified individual or entity, not others.