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A company has obsolete inventory and is trying to decide whether to trash it or sell it for a reduced cost. Which of the following
A company has obsolete inventory and is trying to decide whether to trash it or sell it for a reduced cost. Which of the following is (are) relevant to the decision?
Direct material cost assigned to the inventory | Fixed overhead cost assigned to the inventory | |
A) | Yes | Yes |
B) | Yes | No |
C) | No | Yes |
D) | No | No |
Multiple Choice
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Choice C
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Choice D
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Choice B
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Choice A
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