When deciding between alternatives,only those revenues and costs that differ from one alternative to another are relevant.

Name: When deciding between alternatives,only those revenues and costs that differ from one alternative to another are relevant.
Brand: Quizplus
Rating: 4.9 (59 reviews)

Question

Quizplus · Accepted Answer

This statement is true. Relevant costs and revenues are those that vary between alternatives, as they impact the decision-making process. Historical or sunk costs that cannot be changed by the decision should not be taken into account.

When Deciding Between Alternatives,only Those Revenues and Costs That Differ