Practical capacity is estimated based on
A) Engineering studies and labor use patterns
B) The behavior of fixed costs
C) The behavior of variable costs
D) Demand patterns
Correct Answer:
Verified
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A) Difference
Q74: Absorption costing
A) Is used for external reporting
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Q80: Supply-based capacity levels include I Normal capacity
II
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Q82: PFA Ltd uses a throughput costing system
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