Question 2: What makes a cost relevant or irrelevant when making a decision? Suppose a company is evaluating whether to use it warehouse for storage of its own inventory or to rent it out to a local theater group for housing props. Describe what information might be relevant when making that decision.

Question 4: A hospital can use activity based costing (ABC) for costing its services. In a hospital, what activities might be considered to be value added activities? What activities at that hospital might be considered to be non-value added?