The First Stage in Activity-Based Costing Is To

question 57

Multiple Choice

The first stage in activity-based costing is to:

• A) multiply the total cost of producing each good by the number of goods.
• B) identify specific activities that create indirect costs and determine the factors that drive the costs of these activities.
• C) divide the total cost of goods available for sale by the total units available for sale.
• D) identify specific activities that create direct costs and determine the marketing factors that influence the costs of these activities.

---

Definitions:

Dred Scott v. Sandford

A landmark Supreme Court case in 1857 which held that African Americans, whether enslaved or free, could not be American citizens and therefore had no standing to sue in federal court.

Supreme Court Decision

A ruling made by the Supreme Court, the highest judicial body in a country, often setting a legal precedent.

Fourteenth Amendment

was adopted in 1868 as one of the Reconstruction Amendments, granting citizenship and equal civil and legal rights to African Americans and slaves who had been emancipated.