What Is the Primary Trade-Off That an Accountant Must Consider

question 98

Multiple Choice

What is the primary trade-off that an accountant must consider when deciding whether to identify cost drivers?

• A) Will the cost driver identification provide different costs for different purposes?
• B) Is the cost/benefit of the process reasonable for more accurate cost behavior obtained?
• C) Will the cost relationships be too complex to understand?
• D) Will material-related drivers be more accurate than labor-related drivers?.
• E) There is no trade-off to consider when using cost drivers.

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Definitions:

Synaptic Vesicle

a small, spherical sac containing neurotransmitters, found in the nerve endings, crucial for transmitting signals between neurons.

Myelin

A fatty substance that surrounds neurons' axons, facilitating faster transmission of electrical signals.

Receptor Site

A receptor site is a specific location on a cell surface where certain molecules, such as hormones or neurotransmitters, bind to trigger a change in the cell's function or activity.

Myelin

A fatty substance that forms a sheath around the axons of many neurons, helping to speed the conduction of nerve impulses.