Which of the following costs should be considered when managers are making short term profitability analysis decisions?
A) Marketing costs
B) Design costs
C) Research and development costs
D) None of these

Question

Quizplus · Accepted Answer

When making short-term profitability analysis decisions, managers should consider costs that are directly related to generating revenue, such as marketing costs. Design costs and research and development costs are generally considered long-term investments that may not provide an immediate return on investment, and therefore are not typically included in short-term profitability analysis.

Which of the Following Costs Should Be Considered When Managers