For purposes of decision making, avoidable costs are costs that:

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Business

Gina Nguyen

21 June, 06:13

For purposes of decision making, avoidable costs are costs that:

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Luis Marks · Answer 1

Avoidable cost refers to variable costs that can be avoided. It is a cost that can be foregone by not partaking in or no longer performing an activity that will lead to incurring said cost. For example, a business organization looking for methods to reduce or eliminate expenses often analyze the avoidable costs associated with the project.