1) Performance evaluation focuses on responsibility centers for a specific period, not on projects or individual items of equipment over their useful lives. TRUE or FALSE?

2) In linear programming, the goals of management are expressed in ________.

A. an objective function

B. operating policies

C. business functions

D. constraints

3) A company decided to replace an old machine with a new machine. Which of the following is considered a relevant cost?

A. the setup cost of the new equipment

B. the depreciation expense on the old equipment

C. the loss on the disposal of the old equipment

D. the book value of the old equipment