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True and False questions The market value of equipment owned by a company is a...

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Accounting

True and False questions

The market value of equipment owned by a company is a sunk cost and should not be taken into account in deciding whether or not to replace the equipment. (T/F)

Outsourcing reduces the extent of a company's vertical integration. (T/F)

Equipment should be evaluated for possible replacement only as it nears the end of its useful life. (T/F)

A company that provides services (not goods) to its customers may incur costs that are appropriately classified as product level cost. (T/F)

Also here's one extra question

Which of the following costs is an example of a product level cost

A. machine set up costs

B. Patent filing costs

C. Materials and labor costs

D. Shipping and handling costs

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