The Basic Point in Operation Costing Is That Managers Assume

question 42

Multiple Choice

The basic point in operation costing is that managers assume operation unit costs are the same regardless of the work order,but direct material costs:

• A)are never relevant in the operation unit costs.
• B)vary across orders when the materials used for each work order vary.
• C)never vary across orders when the materials used for each work order vary.
• D)can vary across orders but not when the materials used for each work order vary.
• E)never vary across orders but only when the materials used for each work order vary.

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