Hello,

Mell Company manufactured 100 personal computers at a cost of $30,000. It can sell them as is for $65,000, or install hard disks in them for $25,000 and sell them for $105,000. The $30,000 original manufacturing cost is: Multiple Choice O An cut-ofpocket cost because it has already been paid. A sunk cost because it is not relevant to the decision. A xed cost because it will remain the same no matter which action is taken. 0 An incremental cost because it is relevant to the decision. During the Years 1 through 3, Powers, Incorporated, reported the following amounts of net income (dollars in thousands): Year 3 Year 2 Year 1 $170 $150 $120 Relative to the prior year, the percentage change in net income: Multiple Choice O Was the same in Years 2 and 3. O Was larger in Year 3 than in 2. O Was smaller in Year 3 than in 2. O Cannot be determined without knowing how many shares of stock were outstanding