One Should Always Be Wary of Using Unit Costs for Decision-Making,because

question 8

Multiple Choice

One should always be wary of using unit costs for decision-making,because unit costs:

• A)disguise the true nature of how costs vary with production
• B)can be multiplied by a different number of units,suggesting that the cost data is scalable
• C)generate misleading results when the company faces an increasing cost curve
• D)ignore step-fixed costs
• E)All of the choices are correct