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ACCT 311 Discussion 4

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Each member of the group will select one question below. You may not select a question that has already been posted by another group member. Please be sure that you clearly identify the question number you have selected.
1. Airlines sometimes offer reduced rates during certain times of the week to members of a businessperson’s family if they accompany him or her on trips. How does the concept of relevant costs enter into the decision by the airline to offer reduced rates of this type?
2. “Variable costs and fixed costs mean the same thing.” Do you agree? Explain.
3. What is the major criticism of the payback and simple rate of return methods of making capital budgeting decisions?
4. Relate the IMA standard of integrity to Biblical principles.
5. Relate the IMA standard of credibility to Biblical principles.

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