If a and B Are Independent Events with P(A) =

question 85

Multiple Choice

If A and B are independent events with P(A) = 0.60 and P(A/B) = 0.60, then P(B) is:

• A)1.20.
• B)0.60.
• C)0.36.
• D)P(B) cannot be determined with the information given.

Understand the impact of using ABC on product costing compared to traditional costing systems.

Grasp the concept of unused capacity and its implications in ABC.

Appreciate the role of cost pools in ABC and their impact on cost allocation.

Understand how ABC affects decision making regarding product design and profitability.