Distinguish between the different types of costs that were examined this week, such as sunk costs,...

Question

Distinguish between the different types of costs that were examined this week, such as sunk costs, opportunity costs, and outlay costs?
What costs are relevant to decision making?
How do managers overcome the natural tendency to consider historical and sunk costs when evaluating business alternatives?

Not: - this question are consist of three (3) parts please cover all these questions in this assignment in order to my requirements too
Need about 500 words.
My requirements.

It is MUST important to use my ATTACHED FILE as one reference.
USE THIS ARTICLE AS AN ADDITIONAL REFERENCE http://www.accountancy.com.pk/articles_students.asp?id=142
Please choose real companies to discuss.
Please don’t use more than one website on reference.
Need at least 3-4 Reference.
Please use Harvard style.
Referencing (in text citation) should be evident in the discussions.
Free of plagiarism because my university using a very strike program in check called (TURNITIN) and its accurate.
Plagiarism level allowed 5% only otherwise it will not acceptable.
Harvard style should be like this ((author name)( year) then( title of article) then (title of journals in Italic) then (volume number) then (part number) or issue number finally (pages number)..
This assignment for master degree please do your best effort to get A or B grade.

Please use in assignment the following:-

Introduction.(defined the main terms).
Body. (Discussion).
Conclusion.(summarize the main points).

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Robert · Accepted Answer

Introduction 
The organizations decisions are based on the motive of the maximization of present value 
of future cash flows. To ensure that the right opportunities are taken into consideration, the 
relevant cost for decision making needs to be measured. The organization needs to determine the 
relevant cost for the decision making. The costs shown in the balance sheet are historical costs or 
past costs and are not useful in decision making. The research into the cost analysis is required 
for the pricing and product mix. The main aim behind cost research is to uncover the laws and 
show them in the form of quantified relationships between variables. (Ryan et al., 2002) 
Types of Costs 
Opportunity Cost means the cost of sacrificing one course of action in lieu of other 
favorable option. During the course of business, the enterprise is faced with many situations in 
which he or she is required to choose between one alternative. In management accounting the 
benefit forgone in other alternative shall be taken into consideration as opportunity costs. For 
example, if a company wants to install new equipment for the increase of sales revenue of a 
particular decision, then it may be possible that sales of another division are reduced. This 
reduction in the sales of other department shall be taken as opportunity cost. (Blyth,

Distinguish between the different types of costs that were examined this week, such as sunk costs, opportunity costs, and outlay costs? What costs are relevant to decision making? How do managers...

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