On which of the following costs should a manager not be evaluated?
A)Noncontrollable costs
B)Opportunity costs
C)Fixed costs
D)Variable costs

Question

Quizplus · Accepted Answer

Noncontrollable costs are costs that are not under the control of a specific manager, therefore it would not be fair to evaluate them solely based on these costs. Managers should be evaluated based on costs that they can control, such as variable costs and opportunity costs. Fixed costs are also not under the control of a specific manager, but they are still important to consider in overall profitability analysis.

On Which of the Following Costs Should a Manager Not