What Sometimes Makes Implementation of Activity-Based Costing Difficult in Service

question 42

Multiple Choice

What sometimes makes implementation of activity-based costing difficult in service industries is

• A)the labelling of activities as value-added.
• B)identifying activities, activity cost plus, and cost drivers.
• C)that a larger proportion of overhead costs are company-wide costs.
• D)attempting to reduce or eliminate non-value-added activities.

---

Definitions:

Pressure Equalization

The process of balancing the pressure of an environment with that of another environment, often referred to in the context of ear pressure equilibrium.

Hearing Aid

A device designed to amplify sound for individuals with hearing loss, improving their ability to communicate.

Moisture

The presence of a liquid, especially water, often in trace amounts.

Antibacterial Effect

The result achieved by agents that inhibit bacterial growth or kill bacteria.