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Forums › Ask ACCA Tutor Forums › Ask the Tutor ACCA PM Exams › Dec 2011 Q1 T CO
Dear sir ,
thank you firstly for your great teaching lectures
could you please help me in understanding the concept behind the relevant costs calculated regarding paragraph tow of the question ” the engineers’s cost
it said by the examiner that the relevant cost would be just the penalty of $500
while i see that there is no relevant costs here ,as their is one week ahead for the engineers to complete contract x and gain the contribution , so no need for penalty
thanks a lot
Yes, but it also says that if we do the contract we will be late finishing the other work which will mean that we will have to pay the penalty.