The Term Cost Driver Refers to

question 102

Multiple Choice

The term cost driver refers to

• A)any activity that can be used to predict cost changes.
• B)the attempt to control expenditures at a reasonable level.
• C)the person who gathers and transfers cost data to the management accountant.
• D)any activity that causes costs to be incurred.

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Definitions:

Emergent Change

Unplanned and spontaneous changes that arise from within the organization, often in response to unforeseen challenges or opportunities.

Cultural Change

The transformation of the cultural structure and practices of a society or organization over time.

Organizational Efficiency

The ability of an organization to achieve its goals with minimal waste of resources, including time, money, and labor.

Downsizing

The intentional reduction of a company's workforce to improve efficiency, reduce costs, or become more competitive.