Discuss how level of activity is measured in different firms
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2. Discuss how level of activity is measured in manufacturing, merchandising and service firms.
4. What factors in the current economy seem to have caused the shift from available to fixed cost pattern?
5. How should stepped costs be treated in the planning process?
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This solution is comprised of a detailed explanation to discuss the level of activity, factors in the current economy, and how should stepped costs be treated in the planning process.
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2). Discuss how level of activity is measured in manufacturing, merchandising and service firms.
In manufacturing the level of activity is measure by numbers of units sold, number of units produced. In merchandising the level of activity is measure by number of units sold. When manufacturing and merchandising companies generally measure the volume of activity in terms of output ...
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