A relevant cost is:
A)the foregone benefit of choosing to do one thing instead of another.
B)a cost that differs across decision alternatives.
C)a cost that has already been incurred.
D)a cost that is the same regardless of the alternative the manager chooses.

Question

Quizplus · Accepted Answer

A relevant cost is a cost that differs across decision alternatives. It is a future cost that will change depending on the decision made, making it relevant for decision-making purposes.

A Relevant Cost Is