tb mc qu. 10-69 (static) a company has high winter demand and low summer de... a company has high winter…

tb mc qu. 10-69 (static) a company has high winter demand and low summer de... a company has high winter demand and low summer demand for its services. the cost of the unused summer capacity would most appropriately be allocated: multiple choice only to the summer customers. only to the winter customers. to an account called idle capacity. evenly to all customers.
Answer
Brief Explanations:
Unused capacity costs are typically accounted for in an idle - capacity account. Allocating to summer customers alone would over - burden them, to winter customers alone is not appropriate as it's summer capacity, and evenly to all customers is not reflective of the situation.
Answer:
C. to an account called Idle Capacity