A Factory Is Operating at Less Than 100% Capacity

question 51

Multiple Choice

A factory is operating at less than 100% capacity.Potential additional business will NOT use up the remainder of the plant capacity.Given the following list of costs, which one should be ignored in a decision to produce additional units of product?

• A)variable selling expenses
• B)fixed factory overhead
• C)direct labour
• D)contribution margin of additional units

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Definitions:

SPSS Syntax

A command language used in the SPSS software for performing statistical analyses and manipulating data.

Command Instruction

A direction or order given to a computer or software application to perform a specific task or operation.

SPSS Program

A comprehensive software package for statistical analysis and data management, widely used in social sciences research.

Crosstabs

Short for cross-tabulations, a statistical tool used to analyze the relationship between two or more categorical variables.