Under Kaizen Costing, Accountants Forecast

question 5

Multiple Choice

Under kaizen costing, accountants forecast:

• A) Cost reduction goals and desired profit margins, then adjust prices accordingly
• B) Declining profit margins and establish revenue and cost goals to meet them
• C) Declining prices and establish cost reduction goals to maintain a desired profit margin
• D) Increasing profit margins and establish revenue and cost goals to meet them

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Definitions:

Color Vision

The ability of the eye to distinguish objects based on the wavelengths of the light they reflect, emit, or transmit.

Lens

A transparent structure in the eye that focuses light on the retina to create clear images.

Retina

A thin layer of tissue at the back of the eye that contains cells sensitive to light, which trigger nerve impulses that pass via the optic nerve to the brain.

Upside-Down Image

Refers to the way images are projected onto the retina in the eye, which the brain then interprets and flips to the correct orientation.