Which of the following do managers need to measure and manage to reduce capacity-based fixed costs?

Question

Quizplus · Accepted Answer

Managers need to measure and manage unused capacity in order to reduce capacity-based fixed costs. By utilizing unused capacity, they can spread fixed costs over a larger volume of output, thereby reducing the impact of fixed costs per unit. Variable costs, engineered costs, and discretionary costs are not directly related to managing capacity-based fixed costs.

Which of the Following Do Managers Need to Measure and Manage