I have 5 easy questions that needs help!!

True or False: Depreciation expense on existing factory equipment is usually relevant to a decision of whether to accept or reject a special order for a company's product.

True

False

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True or False: Generally, a product line should be dropped when the fixed costs that can be avoided by dropping the product line are less than the contribution margin that will be lost.

True

False

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True or False: If by dropping a product a firm can avoid more in fixed costs than it loses in contribution margin, then the firm is better off economically if the product is dropped.

True

False

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True or False: A sunk cost is a cost that has already been incurred and that cannot be avoided regardless of what action is chosen.

True

False

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Bridges Corporation makes 2,600 parts each year that are used in one of its products. The unit product cost of this part is:

Variable manufacturing cost	$	8.10
Fixed manufacturing cost		7.80
Total unit product cost		15.90

The part can be purchased from an outside supplier for $10.60 per unit. If the part is purchased from the outside supplier, two-thirds of the fixed manufacturing costs can be eliminated. The effect on net operating income as a result of purchasing the part would be a:

$9,020 decrease.

$7,020 increase.

$5,020 decrease.

$13,780 increase.