3. In considering whether to accept a special order at a price that is less than the...

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3. In considering whether to accept a special order at a price that is less than the normal selling price of the product when the additional sales will use present idle capacity, which of the following costs will not be relevant?

a. Fixed manufacturing overhead that can be avoided.

b. Direct materials.

c. Variable overhead.

d. Depreciation of the manufacturing plant.

e. Direct labor.

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Accounting What The Numbers Mean

ISBN: 9780073379418

8th Edition

Authors: David Marshall, Wayne McManus, Daniel Viele

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