[tofunmijones]

This question is on relevant costs. If a company is assessing a business proposal from a retail mall to supply the retail mall meat and other livestock products. And to do this, the company needs to acquire a meat processing plant. Incidentally, the acquisition of the meat processing plant is in the company’s strategic plan for the coming year and the board is currently considering it because customers have been demanding for processed meat in kilograms. Will the cost of the meat processing plant be a relevant cost in assessing whether to accept the retail mall contract?

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