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Choose from the dropdown given whether the associated cost or benefit is relevant/irrelevant to the related decision. Relevant Decision Cost or Benefit Irrelevant 1. Decision:
Choose from the dropdown given whether the associated cost or benefit is relevant/irrelevant to the related decision. Relevant Decision Cost or Benefit Irrelevant 1. Decision: Should you take the bus or drive your car to school for the semester? $300 repair bill to fix brakes. Unavoidable fixed 2. Decision: Eliminate an unprofitable segment. overhead. 3. Decision: Make or buy a component used in manufacturing a product. Selling price of the final product. 4. Decision: Accept a special order. Variable overhead. Decision: Sell unassembled and unfinished furniture or sell finished assembled The cost of producing an unfinished and furniture. unassembled table. 6. Decision: XYZ Tire Company is considering dropping one of its 10 models of tires. Common fixed costs. Decision: ABC Golf Co. produces custom golf clubs and is considering purchasing Direct labor. the putter from a manufacturer of custom putters. Decision: A major regional airline has been approached to provide 200 seats at a discounted price to Tampa, Florida, for an executive training session. The airline Cost of flight crew. Jhas excess capacity on the scheduled flight date. Choose from the dropdown given whether the associated cost or benefit is relevant/irrelevant to the related decision. 12. Decision: Eliminate an unprofitable segment. overhead. Selling price of the final 3. Decision: Make or buy a component used in manufacturing a product. product. 4. Decision: Accept a special order. Variable overhead. Decision: Sell unassembled and unfinished furniture or sell finished assembled The cost of producing an unfinished and furniture. unassembled table. Decision: XYZ Tire Company is considering dropping one of its 10 models of tires. Common fixed costs. Decision: ABC Golf Co. produces custom golf clubs and is considering purchasing Di Direct labor. the putter from a manufacturer of custom putters. Decision: A major regional airline has been approached to provide 200 seats at a 8. discounted price to Tampa, Florida, for an executive training session. The airline Cost of flight crew. has excess capacity on the scheduled flight date. Decision: A major regional airline has been approached to provide 200 seats at a 9. discounted price to Tampa, Florida, for an executive training session. The airline In-flight meals. has excess capacity on the scheduled flight date. Decision: A major regional airline has been approached to provide 200 seats at a 10. discounted price to Tampa, Florida, for an executive training session. The airline Discounted ticket price. does not have excess capacity on the scheduled flight date
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