Which of the Following Customer Related Costs Are NOT Economically

question 44

Multiple Choice

Which of the following customer related costs are NOT economically feasible to trace but are related to a customer?

• A) the additional cost of selling one more unit to a new customer who has never done business with the firm before
• B) the direct material costs of a product that a customer has purchased
• C) the allocation of the cost of travel, lodgings, and meals that result from visiting customers at their locations
• D) the shipping costs that result from shipping a package by Fed Ex to a customer when the technology allows a direct match of that cost to the direct material and direct labor costs of the product

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