Answer
b
Work Step by Step
Theoretical capacity is based on producing at full efficiency all the time.
Cost Accounting (15th Edition)
by Horngren, Charles T.; Datar, Srikant M.; Rajan, Madhav V.
Published by
Prentice Hall
ISBN 10:
0133428702
ISBN 13:
978-0-13342-870-4
Chapter 9 - Inventory Costing and Capacity Analysis - Assignment Material - Exercises - Page 362: 9-24(2)
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