Which of the following statements regarding special order decisions is false?
A) A fixed-cost element of an identical amount that is common among all alternatives is essentially irrelevant.
B) Fixed cost per unit is equal to total fixed costs divided by a selected volume level.
C) The contribution approach offers more detailed information than does the absorption approach.
D) Fixed cost per unit is a necessary piece of information in the decision-making process.
Correct Answer:
Verified
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