Which of the following is not a qualitative issue in a special order pricing decision?
A)Will accepting the special order require the hiring of extra workers or payment of overtime?
B)Will accepting the special order result in the loss of regular customers?
C)Will it generate a positive contribution margin?
D)If the special order generates new business,will the customer purchase again at the regular price?

Question

Quizplus · Accepted Answer

The question is asking for a qualitative issue, which typically pertains to non-financial considerations such as impact on customer relationships or employee morale. Option C is a quantitative issue as it pertains to the calculation of the contribution margin. Options A, B, and D are qualitative issues as they pertain to factors such as labor constraints, impact on customer loyalty, and potential for future business.

Which of the Following Is Not a Qualitative Issue in a Special