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FIXED ASSETS ACCOUNTING PROCEDURES

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However, it is important to note that beliefs need not be significantly biased simplybecause information is not quantified. For instance, the managers who decide how muchChemical A to use may understand that, because of disposal costs, its true costs are greaterthan $50. That is, there may be a qualitative understanding of the disposal cost X thatinfluences the firms decisions. While still uncertain, managers may estimate X to besomething greater than zero, and thus closer to its true value. Analysis and quantification arelikely to improve the quality of that estimate, but not as much as they would...
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FIXED ASSETS ACCOUNTING PROCEDURES

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