ECONOMICS

Detailed explanation-1: -By speeding up reporting it enables the decision makers to make quick and well informed decisions without having to call on an accountant. It makes your business nimble and quick to react to any changes in the market or the business.

Detailed explanation-2: -In a make-or-buy decision (MBD), relevant costs include avoidable fixed costs. It is a type of fixed cost that can be avoided or is not necessarily incurred for performing a business activity. IT includes in the make-or-buy decision because these costs will not affect or change the decision as this cost can be ignored.

Detailed explanation-3: -Managerial accounting (also known as cost accounting or management accounting) is a branch of accounting that is concerned with the identification, measurement, analysis, and interpretation of accounting information so that it can be used to help managers make informed operational decisions.

Detailed explanation-4: -Therefore, the relevance of cost is determined by its potential effect(s) on the decision.