Yellow Cake Company planned to produce and sell 900 units at a total cost of $180,000.Actual production and sales were 900 units at a cost of $170,000.The company was ________.
A) efficient and ineffective
B) inefficient and ineffective
C) inefficient and effective
D) efficient and effective

Question

Quizplus · Accepted Answer

The company was efficient because it managed to produce and sell the planned amount of units at a lower cost than anticipated ($170,000 actual cost vs. $180,000 planned cost), indicating effective cost management and resource utilization.

Yellow Cake Company Planned to Produce and Sell 900 Units