What Is the Typical Effect on the Numbers of Cost $\begin{array} {cc } & { \text { Cost Pools } } & { \text { Cost Assignment Bases } } \\\end{array}$

question 66

Multiple Choice

What is the typical effect on the numbers of cost pools and cost assignment bases when an activity-based costing (ABC) system replaces a traditional costing system? (CPA adapted)
$\begin{array} {cc } & { \text { Cost Pools } } & { \text { Cost Assignment Bases } } \\\end{array}$
A. $\begin{array} {cc } & \text { No effect } &&&& \text { No effect } \\\end{array}$
B. $\begin{array} {cc } & \text { Increase } &&&& \text { No effect } \\\end{array}$
C. $\begin{array} {cc } & \text { No effect } &&&& \text { Increase } \\\end{array}$
D. $\begin{array} {cc } & \text { Increase } &&&& \text { Increase } \\\end{array}$

• A) Option A
• B) Option B
• C) Option C
• D) Option D

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Definitions:

Unconscious Person

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Narcotic Abuse

The misuse of narcotic drugs, which are substances affecting mood or behavior, for non-medical reasons, leading to addiction and various negative health effects.

Inpatient Substance Abuse

Treatment programs where individuals with drug or alcohol dependencies live at a facility to receive intensive rehab services.

Enabling Behaviors

Actions that protect individuals from the consequences of their behavior, often contributing to the continuation of negative behaviors such as addiction or incompetence.