Some managers prefer to use cost rather than market price in controlling transfers between divisions. If cost is to be used, then it should be:

A. standard cost.
B. full cost.
C. variable cost.
D. direct cost.


Answer: A

Business

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A) using actual direct labor hours B) using budgeted direct labor hours C) using direct labor hours at practical capacity D) using standard direct labor hours E) all of these

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