Question: 1. Customer profitability analysis allows managers to do which of the following: a. Identify the closest competitor. b. Focus solely on service calls. c. Sell

1. Customer profitability analysis allows managers to do which of the following:

a. Identify the closest competitor. b. Focus solely on service calls. c. Sell to higher end customers. d. Manage each customers costs-to-serve.

2. Which one of the following is the estimated percentage rate that makes the discounted present value of future after-tax cash inflows of a project equal to the initial investment outlay for the project?

a. Internal rate of return (IRR) b. Weighted-average cost of capital (WACC) c. Payback period, in years d. Book (accounting) rate of return

3. Transferred-in units and cost flows are similar to:

a. Materials added at the end of the process. b. Materials added at the beginning of the process. c. Conversion costs added at the end of the process. d. Conversion costs added at the beginning of the process.

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