Question: Use business writing, provide examples, and include visuals to enhance your explanation. 1. In times of slow sales, an accounting manager, who receives bonuses based

Use business writing, provide examples, and include visuals to enhance your explanation.

1. In times of slow sales, an accounting manager, who receives bonuses based on net income, classified numerous period costs as a product cost. What effect did this have on net income and is this ethical?

2. Managers often assume a strictly linear relationship between cost and volume. How can this practice be defended in light of the fact that many costs are curvilinear?

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