To avoid the problem of allocating fixed costs as if they are variable costs,the management accountant should carefully distinguish fixed costs from variable costs and they should never treat the fixed cost per unit as a variable cost.

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It is important for management accountants to carefully distinguish between fixed costs and variable costs to avoid the problem of allocating fixed costs as if they are variable costs. In order to do this, they should not treat the fixed cost per unit as a variable cost.

To Avoid the Problem of Allocating Fixed Costs as If