When choosing between two alternatives,what of the following are relevant costs?
A) future variable costs that are the same under two alternatives
B) future variable costs that are different under two alternatives
C) future fixed costs that are different under two alternatives
D) B and C

Question

Quizplus · Accepted Answer

Both future variable costs that are different under two alternatives and future fixed costs that are different under two alternatives are relevant costs in making a decision between two alternatives. Future variable costs that are the same under two alternatives are not relevant because they do not affect the decision-making process.

When Choosing Between Two Alternatives,what of the Following Are Relevant