When There Is Excess Capacity,it Makes Sense to Accept a One-Time-Only

question 89

Multiple Choice

When there is excess capacity,it makes sense to accept a one-time-only special order for less than the current selling price when:

• A)incremental revenues exceed incremental costs.
• B)additional fixed costs must be incurred to accommodate the order.
• C)the company placing the order is in the same market segment as your current customers.
• D)None of the above is correct.

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Definitions:

Direct Order Plan

A method of organizing written communication where the main point or conclusion is stated first, followed by supporting details or evidence.

Human Resources

The department within an organization that focuses on employee recruitment, management, and providing direction for the people who work in the organization.

Analyze Audience

The evaluation of an audience to determine their characteristics, needs, and expectations, in order to tailor communication effectively.

Revision Stage

The phase in the writing process where content is reviewed and altered to improve clarity, coherence, and effectiveness.