If a management accountant is trying to decide whether a cost is relevant to a decision, he or she should consider the cost relevant if:

Question

Quizplus · Accepted Answer

When considering whether a cost is relevant to a decision, the management accountant should focus on expected future costs rather than historical costs. In addition, a cost is relevant if it is different among the alternatives being considered, as it may impact the decision-making process. Therefore, option D - an expected future cost that is different for each alternative - is the best choice. Options A and B are incorrect because they focus on historical costs, which may not be relevant to the decision at hand. Option C is incorrect because it assumes that the cost is the same for each alternative, which means that it would not impact the decision-making process.

If a Management Accountant Is Trying to Decide Whether a Cost