In deciding whether to accept a special sales order, any fixed costs that would remain unchanged are considered irrelevant data.

Question

Quizplus · Accepted Answer

Fixed costs do not vary with changes in sales volume, so they would remain the same regardless of whether the special sales order is accepted or not. Therefore, they are considered irrelevant when making the decision about whether to accept the order or not. Only variable costs, which will change with the production of the additional units, are relevant to this decision.

In Deciding Whether to Accept a Special Sales Order, Any