Relevant range is a broader term that defines the boundaries of any activity. In accounting terms, it is used in forecasting where the managers take assumptions and make forecasts. The relevant range can be set for both income and expenses.
For example, when a budget is prepared we add some expected expenses that might have to be added as a contingency. The provision for contingent expenses is added to the budget and a relevant range is assigned to it based on the past experience or probability of events.
Kubin Company’s relevant range of production is 18,000 to 22
Refer to the data given in Exercise 3. Answer all questions
: Refer to the data given in Exercise 3. Answer all
Wolsey Industries Inc. expects to maintain the same inventories at the
Belmain Co. expects to maintain the same inventories at the
Munchak Company’s relevant range of production is 9,000–11
Harris Company manufactures and sells a single product. A partially completed
Using the data for Loudermilk Inc. in Exercise 21-
For the coming year, Loudermilk Inc. anticipates fixed costs of
Last year Hever Inc. had sales of $500,000
