When large differences exist between practical capacity and master-budget capacity utilization, companies may:
A)classify the difference as planned unused capacity
B)use master-budget capacity utilization for setting selling prices
C)use practical capacity for meaningful feedback to the marketing manager
D)All of these answers are correct.

Question

Quizplus · Accepted Answer

The Answer of When large differences exist between practical capacity and master-budget capacity utilization, companies may:
A)classify the difference as planned unused capacity
B)use master-budget capacity utilization for setting selling prices
C)use practical capacity for meaningful feedback to the marketing manager
D)All of these answers are correct.

When Large Differences Exist Between Practical Capacity and Master-Budget Capacity