Two alternatives, code-named X and Y, are under consideration at Guyer Corporation. Costs associated with the alternatives are listed below. Alternative X Alternative YMaterials costs$41,000 $59,000Processing costs$45,000 $45,000Equipment rental$17,000 $17,000Occupancy costs$16,000 $24,000Are the materials costs and processing costs relevant in the choice between alternatives X and Y?
A. Both materials costs and processing costs are relevant
B. Only processing costs are relevant
C. Only materials costs are relevant
D. Neither materials costs nor processing costs are relevant
Answer: C
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