1- Which are fundamental choices about the size and scope of operations and about technologies employed in delivering products or services to customers.

	Activities
	Management systems
	Organizational strategies
	Structural cost drivers

2 -Which of the following would be classified as a variable manufacturing cost?

	Depreciation
	Sales commissions
	Property taxes
	Lubricants for machinery

3- Which of the following would best describe the mission of your new business?

	To provide high quality lawn services and make a profit
	To add five new customers per month
	Identify new lawn services that will attract new customers and increase revenues
	Become the largest provider of lawn services in the city

4 -Which of the following statements about sunk costs is true?

	Sunk costs are the result of past decisions
	Sunk costs are never relevant to decisions (except for tax considerations)
	Sunk costs do not vary between decision alternatives
	All of the above