Writing Essays. by Eleanor Wakefield. There are several vital elements to any successful college essay. This handout. will define those elements and show you how to put them together using an. outline. Following this format will help you keep your thoughts organized and. get your essay underway.
A relevant cost (also called avoidable cost or differential cost) is a cost that differs between alternatives being considered. In order for a cost to be a relevant cost it must be: 1  Future. 2  Cash Flow.  Incremental.
Sunk costs are not relevant costs in the decision-making process. Normally fixed costs are not relevant and variable costs are relevant to the decision-making. process since fixed costs do not change while variable costs change with the level of activity. - 2 -. However, it is not always right to determine whether a cost is relevant or not simply based on. this definition.