Rose had arranged to travel to her hometown to visit family and attend a play on Sunday night.The play is sponsored by a local theater group and Rose's cousin is one of the actors. Rose does not own a car and will need to rent a car for the duration of her trip. She plans to drive 360 miles from her residence in New York over toll roads to get to her hometown. She has already purchased a non-refundable ticket to the play and has already make hotel accommodations through Priceline. She was able to get a good price for the hotel but the hotel reservation is non-refundable. Whenever Rose needs to be away for more than one day, she hires a pet sitter to take care of her cat. Rose had not arranged the car rental.

She just found out that a good friend who recently moved across the country will be in New York for a few days and is staying at a hotel that is walking distance from Rose's residence. Her friend asked her to join her for Lunch onSaturday. Rose recently purchased a co-op and she would love to have her friend see it. The co-op required Rose to take out a mortgage and it comes with hefty co-op feeds but Rose loves living there. If Rose changes plans and goes to lunch with her friend she plans to pay for her friend's lunch. Unfortunately, Rose will not be able to go to the lunch and take that trip to her hometown.

Here is Rose 's dilemma. Assume that Rose's only options are taking the trip to her hometown or staying home and having lunch with her friend. Given these two alternatives, identify the following costs as relevant versus irrelevant.

1. The cost of the hotel in her home town.

a. Relevant b. Irrelevant

2. The cost of gas needed to drive to and from her home town

a. Relevant b. Irrelevant

,3. The cost of lunch with her friend.

a. Relevant b. Irrelevant

4. The cost of a pet sitter.

a. Relevant b. Irrelevant

5. The cost of tolls.

a. Relevant b. Irrelevant

6. The cost of her car rental

a. Relevant b. Irrelevant

7. The cost of the co-op fee

a. Relevant b. Irrelevant