Which of the Following Observations About the Total Cost Approach

question 209

Multiple Choice

Which of the following observations about the total cost approach is true?

• A)It provides quick results,as it excludes all transportation costs.
• B)It is an effective approach,as it ignores inventory carrying costs.
• C)It focuses on direct costs and doesn't consider the possible costs of lost sales.
• D)It limits the use of the tools of cost accounting and economics.
• E)It evaluates each possible physical distribution system and identifies all the costs of each alternative.

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Definitions:

Desired Behavior

A specific pattern of action that an individual or group aims to achieve or exhibit.

Nature

The processes within an organism that guide that organism to develop according to its genetic code.

Nurture

The processes external to an organism that nourish it as it develops according to its genetic code or that cause it to swerve from its genetically programmed course. Environmental factors that influence development.

Genes

Fundamental units of heredity that are responsible for guiding the process of creating proteins that, in turn, play critical roles in body functions and development.