The Use of Unit-Based Activity Drivers to Assign Costs Tends

question 20

Multiple Choice

The use of unit-based activity drivers to assign costs tends to

• A)overcost low-volume products.
• B)overcost high-volume products.
• C)undercost all products.
• D)overcost all products.

---

Definitions:

Causal Impact

entails the effect that one variable has on another, establishing a cause-and-effect relationship between the two.

Observable Evidence

Information or data that can be perceived or noticed using the senses or scientific instruments.

Scientific Attitude

An approach to understanding the world that involves skepticism, empirical evidence, and the search for knowledge.

Skepticism

A skeptical attitude; doubt as to the truth of something, often requiring evidence to validate claims.