Question: Why is the identification of a relevant range important? a . It directly impacts the number of units of product a customer buys. b .

Why is the identification of a relevant range important?
a. It directly impacts the number of units of product a customer buys.
b. It is a costs that is incurred by a company that must be accounted for.
c. Cost behavior outside the relevant range distort CVP analysis
d. It is required by GAAP.
Why is the identification of a relevant range

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Accounting Questions!

Q:

A gear manufacturer is planning next weeks production run for four types of gears. If necessary, it is possible to outsource any type of gear from another gear company located nearby. The following...

Q:

the most likely relevant facility-level cost driver for 19. Why is identification of a relevant range important? Choose all correct answers. a. It is required under GAAP. b. Cost behavior outside of...

Q:

Question 11 Why is identification of a relevant range important in CVP analysis? Select one: a. Linear cost relationships may not hold outside of the relevant range. b. It directly impacts the number...

Q:

Question 16. 16. Why is identification of a relevant range important? (Points : 2) It is required under Generally Accepted Accounting Principles (GAAP). Cost behavior outside of the relevant range...

Q:

10. A variable cost is a cost that A. varies per unit at every level of activity. B. occurs at various times during the year. C. varies in total in proportion to changes in the level of activity. D....

Q:

why is identification of the relevant range important Why is identification of the relevant range important? The relevant range is a cost that is incurred by a company that must be accounted for....

Q:

Accounting Principles 2, Test#2,apoers 20, 21 & 22 39. An increase in the level of activity will have the following effects on unit costs for variable and fixed costs: Unit Variable Cost Unit Fixed...

Q:

b. pertains to subunits of the entity prepared only once a year to subunits of the entity and may be very detailed. by the requirements of generally accepted accounting principles. 13 Manageri al...

Q:

Why is identification of a relevant range important? It is required under GAAP. a. b. Cost behavior outside of the relevant range is not linear, which distorts CVP analysis. It directly impacts the...

Q:

-#16 Why is identification of a relevant range important? A It is required under GAAP. B Cost behavior outside of the relevant range is not linear, which distorts CVP analysis. C It directly impacts...

Q:

Why is identification of a relevant range important? It directly impacts the number of units of product a customer buys. It is a cost that is incurred by a compary that must be accounted for. Cost...

Q:

Under what circumstances should courts not allow fully informed contracting parties to agree to limit remedies?

Q:

A new version of the Medical College Admissions Test (MCAT) was introduced in spring 2015 and is intended to shift the focus from what applicants know to how well they can use what they know. One...

Q:

Prior to January 1 of this year, a company had never been involved in any treasury stock transactions. On February 2 , it purchased from its shareholders 1 0 0 , 0 0 0 shares of its common stock at a...

Q:

Hugo decides to buy his Christmas gifts on Black Friday. To simplify his life, he is giving his 10 closest friends scarves for Christmas and everyone else Christmas cards. Hugo is willing to pay up...