Question: 86. For the year ended December 31, 2009, Abel Co. incurred direct costs of $500,000 based on a particular course of action during the year.

86. For the year ended December 31, 2009, Abel Co.

incurred direct costs of $500,000 based on a particular course of action during the year. If a different course of action had been taken, direct costs would have been

$400,000. In addition, Abel’s 2009 fixed costs were

$90,000. The incremental cost was

a. $ 10,000

b. $ 90,000

c. $100,000

d. $190,000

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