The Study of Microeconomics and Macroeconomics Differ in That

question 72

Multiple Choice

The study of microeconomics and macroeconomics differ in that:

• A) microeconomics is concerned with the domestic economy and macroeconomics is concerned only with the international economy.
• B) microeconomics examines the individual markets of the economy while macroeconomics studies the whole economy.
• C) microeconomics studies the actions of households and macroeconomics studies the actions of business firms.
• D) microeconomics examines the whole economy while macroeconomics studies the individual units of the economy.

---

Definitions:

Activity-Based Costing System

A costing method that assigns costs to products or services based on the resources they consume and the activities they require.

Activity Cost Pools

A grouping of all the costs related to performing a specific activity, used in activity-based costing to allocate costs more precisely.

Overhead Cost Per Unit

The amount of overhead expense allocated to each unit of production.

Machine Setups

The configuration and preparations of machines before commencing the manufacturing of a different product or batch.