Which of the following is an example of how managers use production cost reports to control costs?
A) setting product prices high enough for the company to be profitable
B) providing cost of goods sold for the income statement
C) determining if newer, more efficient equipment should be acquired
D) promoting products that are most profitable

Question

Quizplus · Accepted Answer

Production cost reports can help managers identify which aspects of production are costing the most money. With this information, managers can decide whether to invest in newer, more efficient equipment or adjust production methods to reduce costs. This can ultimately help control overall production costs. Choices A, B, and D may all be related to controlling costs, but they do not directly involve the use of production cost reports.

Which of the Following Is an Example of How Managers