The managers using capacity planning do not make ___________
Correct answer: B. pricing decisions
- A. marketing decisions
- B. pricing decisions
- C. financial decisions
- D. cost budgeting decisions
Explanation
Capacity planning focuses on available production capacity, resource use and related cost budgets rather than setting selling prices. Pricing decisions are primarily marketing and strategic decisions, although they may use capacity information.
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About Cost Accounting
Cost accounting measures and analyses the cost of producing goods or providing services for planning, control and pricing decisions. It covers direct and indirect costs, fixed and variable costs, job and process costing, break-even analysis, marginal costing, overhead allocation, and the difference between product cost and period cost.
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