Which of the following is not a "red flag" indicating problems with an organization's costing system?
A. Goods and services are complex and require many different processes and inputs.
B. Different departments within the company believe that the costs identified for producing goods and providing services are not accurate.
C. Standard high-volume goods and services show significant profits.
D. Indirect costs are significant in proportion to direct costs.
Answer:A
Which of the following is not a "red flag" indicating problems with an organization's costing system?
A. Goods and services are complex and require many different processes and inputs. B. Different departments within the company believe that the costs identified for producing goods and providing services are not accurate. C. Standard high-volume goods and services show significant profits. D. Indirect costs are significant in proportion to direct costs.