The Domains of Cost Concerns and Responsibilities Are Listed

question 97

Multiple Choice

The domains of cost concerns and responsibilities are listed.Which choice is wrong?

• A)P/OM is accountable for variable costs per unit.
• B)P/OM and finance are mutually involved in major determinants of fixed costs.
• C)P/OM and marketing have to work out the price per unit that customers are to be charged and the demand volume that should result from the production process.
• D)P/OM is solely responsible for decisions concerning the volume of output.

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Definitions:

Liability Account

An accounting record that captures the amounts a company owes to others, including loans, payables, and other financial obligations.

Capital Account

An account on a national level that records transactions of assets, liabilities, and investments between domestic and foreign entities.

Understated

A term used when financial records show a figure to be less than the actual amount, indicating a discrepancy or error.

Asset Account

Accounts that represent the different types of resources owned by a business, which have economic value and can provide future benefits.