Which of the Following Would Be the BEST Reason to Use

question 121

Multiple Choice

Which of the following would be the BEST reason to use the "full-cost approach" when comparing the performance of several product managers?

• A) Unlike the "contribution-margin approach," it charges managers only for the expenses which are directly related to their operations.
• B) This approach is required by Federal tax laws.
• C) It charges each product manager only for those expenses which he controls.
• D) It allows management to consider only the variable costs related to different products.
• E) It makes each manager bear a share of the overhead expenses which were made for everyone's benefit.

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Definitions:

Sensory Modalities

Various forms of senses through which living organisms perceive the world, such as sight, sound, smell, taste, and touch.

Detecting Pain

The physiological and psychological process by which organisms recognize and respond to stimuli that are noxious and potentially harmful.

Jnd

The minimum difference in stimulation that a person can detect 50% of the time, also known as the just noticeable difference.

Absolute Threshold

The minimum intensity level of a stimulus required for a person to detect its presence at least half the time.