1. What has increased the need for cost systems that accurately deal with indirect manufacturing costs?

Why should the decision makers of an organization only focus on the relevant costs when making a financial decision?

What qualitative considerations should be relevant when making a make-or-buy decision?

When production capacity is limited and obtaining additional customer orders is possible, an organization should take into consideration its opportunity costs in order to evaluate the profitability of these new order. Do you agree with this statement? What are some examples of opportunity costs in this context?