Knowing how costs behave is useful to management for all the following reasons except for
A) predicting customer demand.
B) predicting profits as sales and production volumes change.
C) estimating costs.
D) changing an existing product production.

Question

Quizplus · Accepted Answer

Knowing how costs behave can help management in predicting profits, estimating costs, and making decisions about changes to production. However, it is not helpful in predicting customer demand, as this is more closely related to market research and consumer trends.

Knowing How Costs Behave Is Useful to Management for All