Rapid Growth Pty Ltd is presently operating at full capacity. They received a special order...

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Accounting

Rapid Growth Pty Ltd is presently operating at full capacity. They received a special order that, if accepted, would require refusing some sales to regular customers. Which of the following factors should management consider when making their decision?

1) Variable costs of special order

2) Fixed costs of equipment

3) Opportunity costs

Select one:

a. All 3 factors

b. 1 and 2 but NOT factor 3

c. 1 and 3 but NOT factor 2

d. Only factor 1

e. 2 and 3 but NOT factor 1

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