Question: 1. The major problem to avoid when selecting the amount of fixed asset capacity is A. both of the 2 listed answers are correct B

1. The major problem to avoid when selecting the amount of fixed asset capacity is

A. both of the 2 listed answers are correct

B None of the 2 listed answers are correct

C Having excess production capacity in relations to future sales volume, thus "wasting" precious financial resources tied up in long term capital assets

D Not having enough production capacity to meet future demand, thus losing out on potential sales revenues

2. Project managers can get more timely estimation of "indirect costs" assigned to their individual projects using

A Normal costing techniques

B CVP analysis

C Direct costing allocation procedures

D Actual costing techniques

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