Name the Property That Was Used in the Following Equation

question 246

Multiple Choice

Name the property that was used in the following equation.

• A) commutative property of addition
• B) associative property of addition
• C) associative property of multiplication
• D) distributive property

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Definitions:

Activity Rates

Rates used in activity-based costing to allocate overhead costs to products or services, based on the amount of activity consumed.

Activity-Based Costing

A technique for determining the true cost of a product by assigning its share of overhead costs based on the specific activities it requires.

Overhead Cost

Indirect costs of running a business that can't be linked to specific products or services but are necessary for the business to operate.

Assembly Hours

The total hours spent on the assembly stage of the manufacturing process, often used in costing and performance measurement.