Redmond Ltd Is Closing One of Its Divisions

question 102

Multiple Choice

Redmond Ltd is closing one of its divisions. Operating data on this division follows: Overhead consists of $30,000 in salary and $10,000 for rent and insurance. The salary is for the chief engineer, who will continue to work for Redmond even if the division is closed.
Rent and insurance that will cease if the division is closed is an

• A) Unavoidable and irrelevant cost
• B) Unavoidable and relevant cost
• C) Avoidable and irrelevant cost
• D) Avoidable and relevant cost

---

Definitions:

Construction Jobs

Positions related to the process of building, maintaining, and repairing structures, including roles like carpenters, electricians, and project managers.

Work Schedules

The arranged hours set for employees to perform their job duties, varying widely across different occupations, industries, and companies.

Interpersonal Demands

Workplace pressures that arise from interactions with others, including conflicts, emotional labor, and communication challenges.

Ambiguity

The quality of being open to more than one interpretation; lack of clarity in communication or information.