Multiple Choice
Makwa Industries has developed two new products but has only enough plant capacity to introduce one product during the current year.The following data will assist management in deciding which product should be selected.Makwa's fixed overhead includes rent and utilities,equipment depreciation,and supervisory salaries.Selling and administrative expenses are not allocated to individual products. Research and development costs for Makwa's two new products are
A) Prime costs.
B) Conversion costs.
C) Opportunity costs.
D) Sunk costs.
Correct Answer:

Verified
Correct Answer:
Verified
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