An additional cost that is incurred only if a particular action is taken is a(n):
A. Period cost
B. Pocket cost
C. Discount cost
D. Incremental cost
The answer is D. Incremental cost.
Incremental costs that are incurred only is a particular item is taken. Examples of incremental analysis is performed in analysis for business decisions to decide is a job should be accepted or rejected, if an asset should be purchased or sold, or