Pierceall Corporation Is Conducting a Time-Driven Activity-Based Costing Study in Its

question 290

Multiple Choice

Pierceall Corporation is conducting a time-driven activity-based costing study in its Tech Support Department. The company has provided the following data to aid in that study: The cost per minute of the resource supplied is $0.42.On the Customer Cost Analysis report in time-driven activity-based costing, the time-driven activity rate for Preparing Change Orders would be closest to:

• A) $0.42 per change order prepared
• B) $1.11 per change order prepared
• C) $15.96 per change order prepared
• D) $38.00 per change order prepared

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Definitions:

Commodity Procurement

The process of sourcing and acquiring raw materials or basic goods that are essential for the production of other goods or services.

Managing Suppliers

The process of working effectively with third-party organizations that provide goods and services, to ensure they meet the project's quality, timeline, and budget requirements.

Performance Specifications

Descriptions of the operational requirements and the standards to which a product, service, or project must adhere.

Administrative Function

The tasks related to managing an organization's internal operations, such as record keeping, payroll, and compliance.