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After thinking about this decision, the CFO remembered that her instructor of managerial accounting during her MBA at the Fuqua School of Business often talked about a risk associated with product deletion decisions based on inaccurate costing numbers. Thus, she became wary that if FerraProf dropped a product based on the current cost allocation system, they could end up in a:

All of the above.

Supply$-$driven death spiral.

Demand$-$driven death spiral.

None of the above.

Inflation$-$driven death spiral.

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$07\mathrm{.}07\mathrm{.}2025$

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