A. When comparing the performance of two factories, one of which is owned and
the other rented, the inclusion of rent as an expense in the profit statement of the factory owned is known as the inclusion of:
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(A) a relevant cost;
(B) a notional cost;
(C) a controllable cost;
(D) an indirect cost.
B. In the context of quality costs, training costs and reworking costs are classified as:
Training costs Reworking costs
(A) prevention costs internal failure costs
(B) internal failure costs internal failure costs
(C) internal failure costs external failure costs
(D) prevention costs external failure cost
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