Theoretical Capacity Is Based on Which of the Following Assumptions

question 114

Multiple Choice

Theoretical capacity is based on which of the following assumptions?

• A)that absorption costing is used
• B)that variable costing is used
• C)production will occur at peak capacity all the time
• D)production will occur at peak capacity where feasible (e. g., except for maintenance downtime)
• E)production can never occur at peak capacity