Some examples of opportunity costs that should be included in project analysis are that, skilled employees who are moved from an existing project to the new project causing a loss in the existing project.
Opportunity cost refers to what you have to give up to buy what you want in terms of other goods or services. Opportunity cost is a great tool for project selection in many organizations.
The opportunity cost is the difference between the net value of the path that was chosen and the net value of the best alternative that was not chosen.
There is an example of opportunity cost which should be included in the project analysis. The situation where skilled employees are moved from an existing project to the new project causing a loss in the existing project, should be analyzed.
Hence, the answer was given and explained above.
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Answer:
The correct answer to the given question is Relevant range.
Explanation:
Relevant range , in accounting , can be defined as that amount of activity or range of volume where company's fixed expenses would not differ as the volume of activity changes. This term has relevance with the fixed cost, as if a company's volume decreases then company would try to decrease their fixed cost and similarly if the volume increases the company's fixed expenses would also increase.
Answer:
$20.83
Explanation:
The computation of the cost of preferred stock is shown below:
Cost of preferred stock = (Dividend × par value) ÷ (current selling price) × 100
= (10% × 100) ÷ ($48) × 100
= 10 ÷ 48 × 100
= $20.83
Simply we divide the dividend by the current selling price so that the cost of preferred stock can be computed
All other information which is given is not relevant. Hence, ignored it