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Differentiate between avoidable and unavoidable expenses

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Question: 1. What is the difference between avoidable and unavoidable expenses?

2. A segment is a candidate for elimination if

(a) its revenues are less than its avoidable expenses,

(b) it has a net loss,

(c) its unavoidable expenses are higher than its revenues.

3. What is the average amount invested in a machine during its predicted five-year life if it costs $200,000 and has a $20,000 salvage value? Assume that net income is received evenly throughout each year and straight-line depreciation is used.

Reference no: EM131539908

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