Question 11 pts

In the short term, businesses can afford to amend the existing capacity to meet the demand fluctuations.

Group of answer choices

True

False

Flag question: Question 2Question 21 pts

The decision to arrive at how much capacity to put in place is a long-term decision.

Group of answer choices

True

False

Flag question: Question 3Question 31 pts

Controllable cost analysis involves focusing on those costs and revenues that differ from a benchmark option.

Group of answer choices

True

False

Flag question: Question 4Question 41 pts

Avoidable fixed costs are also referred to as controllable fixed costs.

Group of answer choices

True

False

Flag question: Question 5Question 51 pts

One reason for a baker to accept a baking job for Thursday but reject it for Saturday could be that, the baker has excess capacity on Thursdays which eventually will be more profitable.

Group of answer choices

True

False

Flag question: Question 6Question 61 pts

Under high demand and short supply of scarce resource conditions, a company should decide how much of each product to produce by ranking products by the contribution margin per unit of the product.

Group of answer choices

True

False

Flag question: Question 7Question 71 pts

Adifferential approach is applied for arriving at decisions, that involves stating of benefits and costs of the various decision options relative to one of the options.

Group of answer choices

True

False

Flag question: Question 8Question 81 pts

As quantitative analysis of different decision options is extremely significant, it should be the only criteria for the final decision.

Group of answer choices

True

False