Which of the following is a sign that a "smoothing out" costing system exists?

A) Very few indirect costs are identified as output unit-level costs.
B) Products that a company is well suited to make and sell show large profits.
C) Operations staff has no substantial disagreements with the reported costs of manufacturing and marketing products and services.
D) The company loses bids they believe were priced competitively.

Answer: D

Business

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