All of the Following Statements Are Correct Except That

question 153

Multiple Choice

All of the following statements are correct except that

• A) activity-based costing has been widely adopted in service industries.
• B) the objective of installing ABC in service firms is different than it is in a manufacturing firm.
• C) a larger proportion of overhead costs are company-wide costs in service industries.
• D) the general approach to identifying activities and activity cost pools is the same in a service company as in a manufacturing company.

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Definitions:

Strictly Liable

A legal term indicating the responsibility for damages or injury, regardless of fault or intent, usually applied in cases involving inherently dangerous or defective products or activities.

Res Ipsa Loquitur

A legal doctrine that allows an inference of negligence to be drawn from the very nature of the accident or injury, in the absence of direct evidence on how any defendant behaved.

Animal Trap

A device designed to capture or kill animals, typically used for hunting, pest control, or wildlife management purposes.

Intentional Injury

A type of harm inflicted on a person where the perpetrator has the explicit aim to cause damage or injury.