Which of the Following Is Not an Indicator That an Activity-Based

question 23

Multiple Choice

Which of the following is not an indicator that an activity-based costing analysis may be appropriate?

• A)Bids for complex products are accepted, while bids for simple products are rejected.
• B)Products are similar and consume resources in the same way.
• C)High-volume jobs show losses or minimal profits, while low-volume jobs show healthy profits.
• D)Bids for jobs that require "special" processing are always accepted.

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Definitions:

Retail Outlet Classification

The categorization of retail stores based on factors such as size, location, product range, and sales method.

Service Versus Goods

The distinction between intangible, non-physical services and tangible, physical goods in the market.

Level Of Service

Describes the degree of service provided to the customer from three types of retailers: self-, limited-, and full-service.

Contractual System

is a formal agreement between parties governing their commercial relationship and obligations.