Relevant costs for decisions to sell or process further include
A)joint costs.
B)additional processing costs.
C)fixed costs.
D)sunk costs.

Question

Quizplus · Accepted Answer

Relevant costs for decisions to sell or process further include the additional processing costs, which are the costs incurred beyond the split-off point that are necessary to make the product ready for sale. Joint costs, fixed costs, and sunk costs are not relevant for this decision as they are not affected by the decision to sell or process further.

Relevant Costs for Decisions to Sell or Process Further Include