Which factor is not relevant in deciding whether or not to accept a special order?
A)Incremental revenue that will be earned
B)Additional costs that will be incurred
C)The effect that the order will have on the company's regular sales volume and selling prices
D)The average cost of production if the special order is accepted

Question

Quizplus · Accepted Answer

The average cost of production is not relevant in deciding whether to accept a special order as the relevant cost is the incremental cost that will be incurred or avoided as a result of accepting the order.

Which Factor Is Not Relevant in Deciding Whether or Not