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1-1. 1-2. 1-3. In order to avoid pitfalls in relevant-cost analysis, management should focus on: variable cost items that differ for each alternative. anticipated fixed

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In order to avoid pitfalls in relevant-cost analysis, management should focus on: variable cost items that differ for each alternative. anticipated fixed costs and variable costs of all alternatives. long-run fixed costs of each alternative. anticipated revenues and costs that differ for each alternative. Which of the following statements concerning the impact of income taxes on marginal analysis is correct? Introducing income taxes does not change the cost to make or buy a product in a make-or-buy analysis. Introducing income taxes into the analysis increases the difference in cost between buying a product and making a product. Introducing income taxes into the analysis can change a decision to buy a product into a decision to continue making the product. Introducing income taxes into the analysis decreases the difference in cost between buying a product and making a product, but it does not change the less costly option into the more costly option. The breakeven point in units increases when unit costs: increase and sales price remains unchanged. decrease and sales price remains unchanged. decrease and sales price increases. remain unchanged and sales price increases

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