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The Term "Discretionary Costs" Refers to

Question 41

Multiple Choice

The term "discretionary costs" refers to


A) costs that management decides to incur in the current period to enable the company to achieve objectives other than the filling of orders placed by customers.
B) costs that are likely to respond to the amount of attention devoted to them by a specified manager.
C) costs that are governed mainly by past decisions that established the present levels of operating and organizational capacity and that only change slowly in response to small changes in capacity.
D) amortization of costs that were capitalized in previous periods.

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