Which of the following is a decision rule for handling questionable costs?
a. If expected sales are between the two break-even points, the questionable costs behavior needs to be dropped.
b. If expected sales don't exceed the higher break-even point, the product should be profitable.
c. The product should not be profitable if expected sales do not exceed the lower break-even point.
d. Decide which questionable costs to ignore.
ANSWER: c
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