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MBUS 300 Final Exam Chp. 13 questions n answers

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MBUS 300 Final Exam Chp. 13 questions n answers

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MBUS 300 Final Exam Chp. 13
questions n answers 2025/2026

The benefits sacrificed when one is chosen over another are referred to as: - ANS
✔✔opportunity costs



Relevant costs are often referred to as: - ANS ✔✔Differential costs



Ethan paid $3 for a bottle of Thirst Aid. Later while on a hiking trip, she was offered $8 for the
Thirst Aid. Select the correct statement from the following: - ANS ✔✔The $3 original purchase
price is irrelevant to his decision to sell the Thirst Aid.



Select the correct statement regarding opportunity costs. - ANS ✔✔Opportunity costs are not
recorded in a firm's financial accounting records.



Select the incorrect statement regarding sunk costs. - ANS ✔✔Sunk costs are relevant if they
differ between the alternatives.



Qualitative information is relevant when: - ANS ✔✔it makes a difference in the decision and it
differs between the alternatives.



Select the correct statement regarding relevant revenues. - ANS ✔✔Relevant revenues must
make a difference in the decision under consideration.



Lindsay purchased a raffle ticket for $5. Just before the grand prize drawing two people tried to
buy her ticket. The first person offered $30, and another offered $65. What is Lindsay's
opportunity cost of keeping the raffle ticket? - ANS ✔✔$65

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