Effective planning of fixed overhead costs includes all of the following EXCEPT:
A)planning day-to-day operational decisions
B)eliminating nonvalue-added costs
C)planning to be efficient
D)choosing the appropriate level of capacity

Question

Quizplus · Accepted Answer

Effective planning of fixed overhead costs does not include day-to-day operational decisions, as these are more concerned with managing variable costs. The other options, eliminating nonvalue-added costs, planning to be efficient, and choosing the appropriate level of capacity, are all important considerations in effective planning of fixed overhead costs.

Effective Planning of Fixed Overhead Costs Includes All of the Following