Which of the Following Is a Reason Traditional Costing Approaches

question 36

Multiple Choice

Which of the following is a reason traditional costing approaches may NOT work in a lean manufacturing environment?

• A) Standard costing variances encourage overproduction.
• B) Distorted product costs may conceal the outcome of success of a lean system.
• C) Traditional operational controls work against demand-pull systems.
• D) All of these.

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