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Two alternatives, A and B, are being considered by Dougle Corporation. Costs associated with the alternatives are listed below. Alternative A Alternative B Materials costs
Two alternatives, A and B, are being considered by Dougle Corporation. Costs associated with the alternatives are listed below.
Alternative A | Alternative B | |
---|---|---|
Materials costs | $ 41,000 | $ 59,000 |
Processing costs | $ 45,000 | $ 45,000 |
Equipment rental | $ 17,000 | $ 17,000 |
Occupancy costs | $ 16,000 | $24,000 |
Which of the costs are relevant when choosing between alternatives A and B?
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