Broad averaging lead to ________.
A)service product cost
B)variable product costs
C)accurate product costs
D)accurate service costs
E)inaccurate product costs

Question

Quizplus · Accepted Answer

Broad averaging, which involves spreading costs evenly across all products or services, results in inaccurate product costs. This is because different products or services have varying production costs, and applying the same cost to all of them would not provide an accurate representation of the actual costs for each product or service.

Broad Averaging Lead to ________