15. A cost classification used in analyzing costs of decision alternatives. Following are a number of key

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15. A cost classification used in analyzing costs of decision alternatives.

Following are a number of key terms and concepts introduced in the chapter, along with a list of corresponding definitions. Match the appropriate letter for the key term or concept to each definition provided (items 1-15). Note that not all key terms and concepts will be used. Solutions are provided at the end of this chapter.

a.
Differential cost j-
Present value b.
Allocated cost k.
Cost of capital c.
Sunk cost 1.
Net present value (NPV)
d.
Opportunity cost m.
Internal rate of return (IRR)
e.
Relevant cost n.
Payback method f.
Full capacity 0.
Accounting rate of return g-
Idle capacity P-
Profitability index h.
Capital budgeting q-
Postaudit i.
Cash flow r.
Outsourcing

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Accounting What The Numbers Mean

ISBN: 9780073379418

8th Edition

Authors: David Marshall, Wayne McManus, Daniel Viele

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