Question: Assume that KTM (KTM.com) is considering offering financing services for its dealers. However, instead of developing the division internally, KTM is considering buying a company

Assume that KTM (KTM.com) is considering offering financing services for its dealers. However, instead of developing the division internally, KTM is considering buying a company that already offers such services.
Required
Would absorption or variable costing be most useful to KTM in evaluating whether to acquire an existing business that provides financing services similar to those offered by Polaris? Explain.

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