The ________ approach is useful for short-run decisions and the ________ approach is useful for long-run decisions.
A)contribution; absorption
B)absorption; contribution
C)full costing; target costing
D)full costing; contribution

Question

Quizplus · Accepted Answer

The contribution approach is useful for short-run decisions because it focuses on the incremental costs and revenues associated with a particular decision. The absorption approach is useful for long-run decisions because it considers all of the costs associated with a product or service, including fixed costs.

The ________ Approach Is Useful for Short-Run Decisions and the ________

The Approach Is Useful for Short-Run Decisions and the