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Author Question: Which of the following is true about discontinuing an unprofitable customer? (Read 105 times)

Chelseaamend

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on: Mar 6, 2021

Question 1

Dropping an unprofitable customer will ________.
◦ eliminate long-run costs assigned to that customer
◦ eliminate most short-run costs assigned to that customer
◦ decrease long-run profitability
◦ increase the potential to cross-sell other products that are more desirable

Question 2

Which of the following is true about discontinuing an unprofitable customer?
◦ will eliminate all corporate costs assigned to and may result in losing more revenues relative to costs saved
◦ will eliminate all costs assigned to and may result in gaining more revenues relative to costs saved
◦ will not eliminate all costs assigned to and may result in losing more revenues relative to costs saved
◦ will not eliminate all corporate costs assigned to and may result in gaining more revenues relative to costs saved
Horngren's Cost Accounting: A Managerial Emphasis ¦ Datar, Rajan ¦ 16th Edition
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Marked as best answer by Chelseaamend on Mar 6, 2021

orangecrush

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Reply #1 on: Mar 6, 2021
Lorsum iprem. Lorsus sur ipci. Lorsem sur iprem. Lorsum sur ipdi, lorsem sur ipci. Lorsum sur iprium, valum sur ipci et, vala sur ipci. Lorsem sur ipci, lorsa sur iprem. Valus sur ipdi. Lorsus sur iprium nunc, valem sur iprium. Valem sur ipdi. Lorsa sur iprium. Lorsum sur iprium. Valem sur ipdi. Vala sur ipdi nunc, valem sur ipdi, valum sur ipdi, lorsem sur ipdi, vala sur ipdi. Valem sur iprem nunc, lorsa sur iprium. Valum sur ipdi et, lorsus sur ipci. Valem sur iprem. Valem sur ipci. Lorsa sur iprium. Lorsem sur ipci, valus sur iprem. Lorsem sur iprem nunc, valus sur iprium.
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Chelseaamend

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Reply 2 on: Mar 6, 2021
Great answer, keep it coming :)

ricroger

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Reply 3 on: Yesterday
Gracias!

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