A company is considering the following alternatives: $\begin{array}{lrr}&\text { Alternative } 1&\text { Alternative } 2\
\text { Revenues } & \$ 120,000 & \$ 120,000 \
\text { Variable costs } & 60,000 & 70,000 \
\text { Fixed costs } & 35,000 & 35,000
\end{array}$ Which of the following are relevant in choosing between the alternatives?

Question

Quizplus · Accepted Answer

Variable costs are relevant because they differ between the alternatives, while revenues and fixed costs are the same for both alternatives and thus not relevant for the decision.

A Company Is Considering the Following Alternatives Which of the Following Are Relevant in Choosing Between the }