Which of the Following Is Typical of Traditional Costing Systems

question 50

Multiple Choice

Which of the following is typical of traditional costing systems?

• A)Uses multiple cost drivers to allocate overhead.
• B)It is more complicated than Activity Based Costing systems.
• C)Is still the best way to allocate direct labour costs.
• D)Uses a single cost driver to allocate overhead.

---

Definitions:

Normally Distributed Curves

Graphical representations of a normal distribution, showing how data points are symmetrically distributed around the mean.

Mean

A statistical measure representing the average value in a set of numbers, calculated by dividing the sum of all values by the number of values.

Median

The middle value in a list of numbers, which divides the dataset into two halves.

Mode

The value that occurs most frequently in a given set of data.