Master-budget capacity utilization can be more reliably estimated than normal capacity utilization.

Name: Master-budget capacity utilization can be more reliably estimated than normal capacity utilization.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Master-budget capacity utilization is based on the expected demand for the period, while normal capacity utilization is based on the long-term average demand. Expected demand is more reliable than long-term average demand, so master-budget capacity utilization can be more reliably estimated.

Master-Budget Capacity Utilization Can Be More Reliably Estimated Than Normal