This article's lead section may be too long for the length of the article please help by moving some material from it into the body of the article please read the layout guide and lead section guidelines to ensure the section will still be inclusive of all essential details please discuss this issue on the article's talk page (july 2016. This is called historical cost concept historical cost is the value of a resource given up or a liability incurred to acquire an asset/service at the time when the resource was given up or the liability incurred. The concept of an external customer is no longer relevant because delivery is given by thirdparty distribution companies which one of the following statements regarding this concept is true ad volumes for any individual product tend to be low for its gapkids stores q30: the process structure that best describes a waiter¶s.
Choose the one alternative that best completes the statement or answers the question 1)an incentive a)is the opposite of a tradeoff normative economics 13) 14)which of the following topics would be studied in a microeconomics course a)how a tax rate increase will impact total production the loss of the highest-valued alternative. Relevant costs and revenues have the following features: opportunity cost is an important concept in decision making if plant and machinery is to be replaced at the end of its useful life, then the relevant cost is the current replacement cost. Which of the following statements correctly describes project management (points : 2) project management applies knowledge, skills, tools and techniques to project activities project management should not involve tradeoffs between scope, schedule and cost. In doing so, businesses can determine where the best value lies with customers, and expand or improve said value, resulting in either cost savings or enhanced production.
Definition of cost: an amount that has to be paid or given up in order to get something in business, cost is usually a monetary valuation of (1) effort, (2) material, (3) resources, (4) time and utilities consumed, (5). Cima defines relevant costs as 'costs appropriate to aiding the making of specific management decisions' to affect a decision a cost must be: a) future: past costs are irrelevant, as we cannot affect them by current decisions and they are common to all alternatives that we may choose. Relevant cash flows the paper ffm study guide references e3 c) and e3 d) require candidates to be able to both discuss the concept of relevant cash flows and identify/evaluate. The definition preferred in this chapter is the following: opportunity cost is the amount of revenue forgone (given up) by not choosing one alternative over another.
Relevance is the concept of one topic being connected to another topic in a way that makes it useful to consider the second topic when considering the first the concept of relevance is studied in many different fields, including cognitive sciences, logic, and library and information science. Which of the following best describes the mission of the ahima a community of professionals providing support to members and strengthening the industry and profession which of the definitions below best describes the concept of confidentiality they recall relevant diagnostic criteria and treatment options on the basis of data in the. Relevant cost refers to the incremental and avoidable cost of implementing a business decision relevant costing attempts to determine the objective cost of a business decision an objective measure of the cost of a business decision is the extent of cash outflows that shall result from its implementation.
The materiality concept is the universally accepted accounting principle that all important matters are to be reported while trivial matters can be disregarded matters are deemed material if they could influence economic decisions of financial statement users materiality depends on audience purpose. It defines project management and related concepts and describes the project management life cycle and related processes purpose the increasing acceptance of project management indicates that the application of appropriate knowledge, processes, skills, tools, and techniques can have a significant impact on project success. Which of the following statements about the cost of quality are true the cost of quality is the expense of non-conformance to requirements and specifications the costs of quality are mostly the direct responsibility of workers who are manufacturing the product.
Concept of economic costs: we have discussed the important types of cost which a firm has to face the cost of production from the point of view of an individual firm is split up into the following parts. Lesson 7: identify stakeholders 69 7 a project manager must be the project manager must document relevant information for all identified stakeholders this information may include the stakeholder’s interests, which of the following best describes the identify stakeholders process a. For example, if an asset such as capital is used for one purpose, the opportunity cost is the value of the next best purpose the asset could have been used for opportunity cost analysis is an important part of a company's decision-making processes, but is not treated as an actual cost in any financial statement.
Start studying acct 201 multiple choice learn vocabulary, terms, and more with flashcards, games, and other study tools which of the following is an indirect product cost property taxes on plant facilities which of the following best defines the concept of a relevant cost a future cost that differs among alternatives you might. Proponents of historical cost ordinarily maintain that in comparison with all other valuation alternatives for general purpose financial reporting, statements prepared using historical costs are more a) relevant. Relevant cost of materials relevant cost of materials is the incremental future cost of utilizing materials in a proposed business decision the past cost that has already been incurred on acquisition of materials is not relevant because it constitutes a sunk cost. Which of the following best defines the concept of a relevant cost 1 the cost of a computer system installed last year is an example of: (points: 2) a sunk cost a relevant cost a differential cost an avoidable cost 2 in evaluating different alternatives, it is useful to concentrate on: (points: 2) variable costs fixed costs total costs relevant costs 3.