Multiple Choice
If financial statement data are used to evaluate a decision to discontinue a business:
A) Managers need to identify relevant and irrelevant cash flows
B) Average costs should be used
C) Qualitative factors are irrelevant
D) Only the statement of profit or loss should be considered
Correct Answer:
Verified
Correct Answer:
Verified
Q158: Accuracy of cost estimates is one
Q159: Special orders require idle capacity.
Q160: Trade-offs may be required between:<br>A) Sunk costs
Q161: Relationships with resource suppliers should be analysed
Q162: There are no opportunity costs in keep
Q164: If relevant, opportunity costs should be considered
Q165: The effect of production practices on the
Q166: Kintectics Ltd can manufacture 480,000 electrical pumps
Q167: The timeliness of information can affect decision
Q168: Managers may choose to outsource activities or