Estimated incorrectly by the percent of sales method

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Reference no: EM13725522

Fixed assets are often estimated incorrectly by the percent of sales method because

Select one:

a. fixed assets remain constant and the percent of sales method assumes all assets increase proportionally with sales.

b. fixed asset are very expensive. Incorrect

c. fixed assets are part of the capital budgeting process.

d. fixed assets are typically purchased in "lumps" and therefore do not increase proportionally with sales.

Reference no: EM13725522

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