When an essential information for calculation of income statement is missing, then costs that can be considered for this purpose is called

 

When an essential information for calculation of income statement is missing, then costs that can be considered for this purpose is called

a. expected cost
b. expected revenues
c. irrelevant costs
d. relevant costs

To answer this question, you must understand each answer choice in the multiple-choice above. So you will find the right answer.

A. expected cost

Wrong. Because expected cost is a bad choice for an answer.

B. expected revenues

It is Wrong Because expected revenues does not include the correct answer.

C. irrelevant costs

This is also wrong, irrelevant costs Not completely the correct answer.

D. relevant costs

it is True, because relevant costs is the best and correct answer to the above question. so, choose this answer.

The Answer From When an essential information for calculation of income statement is missing, then costs that can be considered for this purpose is called

So the correct answer is D i.e. relevant costs. Hopefully, it can help work on your problem and can add to your insight as well.