The Principal Difficulty with Normal Costing Is That

question 5

Multiple Choice

The principal difficulty with normal costing is that

• A)the unit cost information is not received on a timely basis.
• B)it can result in fluctuating per-unit overhead costs.
• C)estimated overhead and estimated activity are likely to differ from actual overhead and actual costs, resulting in underapplied or overapplied overhead.
• D)there is no difficulty associated with using normal costing.

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Definitions:

Interpersonal Attraction

Liking or having the desire for a relationship with another person.

Cognitive Dissonance

Sense of discomfort or distress that occurs when a person’s behavior does not correspond to that person’s attitudes.

Companionate Love

Type of love consisting of intimacy and commitment.

Infatuation

A state of intense, often short-lived passion or admiration for someone or something.