Activity-Based Costing and Generally Accepted Accounting Principles Differ in That

question 126

Multiple Choice

Activity-based costing and generally accepted accounting principles differ in that ABC

• A)does not define product costs in the same manner as GAAP.
• B)cannot be used to compute an income statement,but GAAP can.
• C)is concerned only with costs generated from automated processes,but GAAP is concerned with costs generated from both manual and automated processes.
• D)information is useful only to managers,while GAAP information is useful to all organizational stakeholders.

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Definitions:

Visual System

The part of the central nervous system which enables individuals to process visual detail, it includes the eye, retina, optic nerves, and brain visual cortex.

Depth Perception

The ability to perceive the visual world in three dimensions and to judge the distance of objects accurately.

Three Dimensions

The state or quality of having three measurements: length, width, and depth, used to describe the physical world and represented in geometry, design, and spatial understanding.

Figure-Ground Relationship

The principle by which we organize the perceptual field into stimuli that stand out (figure) and those that are left over (ground).