Information is relevant if it is an) _____.
A)expected future cost or it differs among alternatives
B)expected future cost and it differs among alternatives
C)historical cost and it differs among alternatives
D)expected future cost that differs from a past cost

Question

Quizplus · Accepted Answer

Relevant information must have two characteristics: it must be expected future cost and it must differ among alternatives. Therefore, option B is the correct choice. Option A mentions only one characteristic, option C mentions the wrong type of cost, and option D only mentions a difference between past and future cost without considering alternatives.

Information Is Relevant If It Is An) _____