For a cost of revenue to be relevant a. Differ between the alternatives being considered b. Be a past cost decision, the Csion, the cost or revenue mus Be a future d Differ between the alteratives being considered and be a future or revenge 24. MB Industries manufactures 15.00 es manufactures 15.000 comments per year. Their manufacturing costs are: Direct materials Direct labor S150,000 Variable overhead $240,000 $90,000 Fixed overhead $120,000 treno alternative uses for the facilities used in making the components. An outside supplier is offering to sell the component to MB for $34 p unt Should MB make or buy the component! al Make, because otherwise (if it buys). c. Buy, because otherwise if it makes). income would decrease by $30,000 income would decrease by $30,000 b. Make, because otherwise (if it buys). d. Buy, because otherwise (if it makes). income would increase by $30,000 income would increase by $30,000 25. You are given the following decision schedule for a "product line" decision ("keep or drop") prepared by someone who did not study Accounting 306: Schedule if Product OC is eliminated: Relevant revenue (lost) S(12,448.75) Relevant costs avoided: Variable costs $7,500.00 Depreciation (scheduled to continue for 3 years) 6,400.00 Relevant income $ 1,451.25 You are asked to check this schedule and decide whether to keep or drop the product. The best decision to ecommend is Drop the product because the schedule is c. Drop the product because the schedule is! correct not correct Keep the product because the schedule is d. Keep the product because the schedule is not correct correct