Which of the following statements is incorrect?
A) An outsourcing decision typically affects only product-level costs.
B) Accepting a special order will involve incurring unit-level costs.
C) Eliminating a business segment often allows a company to avoid some facility-level costs.
D) Facility-level costs generally are not relevant in special order decisions.

Question

Quizplus · Accepted Answer

An outsourcing decision can have an impact on various cost levels including product-level costs, facility-level costs, and even organization-level costs. Therefore, statement A is incorrect.

Which of the Following Statements Is Incorrect