To What Does the Term Differential Cost Refer

Multiple Choice

To what does the term differential cost refer?

A) A difference in cost that results from selecting one alternative instead of another.
B) The benefit forgone by selecting one alternative instead of another.
C) A cost that does not entail any dollar outlay, but which is relevant to the decision-making process.
D) A cost that continues to be incurred even though there is no activity.