Sunday, June 19, 2011

From the perspective of long-run product costing,

ACCOUNTING

Multiple Choice

From the perspective of long-run product costing,

a. it is best to use master-budget capacity utilization to highlight unused capacity.

b. it is best to use normal capacity utilization for benchmarking purposes.

c. it is best to use practical capacity for pricing decisions.

d. it is best to use theoretical capacity for performance evaluation.

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