Consider a Decision Facing a Company of Either Accepting or Rejecting

question 85

Multiple Choice

Consider a decision facing a company of either accepting or rejecting a special offer for one of its products. A cost that is not relevant is:

• A) direct materials.
• B) variable overhead.
• C) fixed overhead that will be avoided if the special offer is accepted.
• D) common fixed overhead that will continue if the special offer is not accepted.

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