Ask Question
14 July, 22:08

Which of the following is not relevant when deciding whether or not to discontinue a product line?

A. The product line's contribution margin.

B. The effect on the sales of other products if the product line is discontinued.

C. Fixed costs that can be avoided by discontinuing the line.

D. Fixed costs that cannot be avoided by discontinuing the line.

+3
Answers (1)
  1. 15 July, 01:01
    0
    Fixed costs that can be avoided by discontinuing the line.

    Explanation:

    Avoidable costs are those costs which can be eliminated by closing or rejecting a decision under evaluation. These costs are mostly variable coasts which vary with the change in activities. More activity more cost, less activity less cost and no activity no cost.

    So fixed costs that can be avoidable by discontinuing the project is the only irrelevant cost between the given options.
Know the Answer?
Not Sure About the Answer?
Find an answer to your question ✅ “Which of the following is not relevant when deciding whether or not to discontinue a product line? A. The product line's contribution ...” in 📘 Business if you're in doubt about the correctness of the answers or there's no answer, then try to use the smart search and find answers to the similar questions.
Search for Other Answers