Assume That Direct Labor and Direct Materials Are the Major

question 22

Multiple Choice

Assume that direct labor and direct materials are the major cost components of a product and that the small amount of overhead cost can easily be associated with products using a simple overhead allocation basis such as direct labor hours. Which one of the following statements is the most correct?

• A) Activity-based costing should probably be used in this situation.
• B) Activity-based costing is probably too expensive to justify using it in this situation.
• C) Job order costing is probably too expensive to justify using it in this situation.
• D) None of these are correct

---

Definitions:

1-RM Test

A measure of the maximum amount of weight one can lift in a single repetition for a given exercise.

Muscle Strength

The capacity of a muscle or group of muscles to exert force against resistance, important for physical performance and health.

Eccentric Contraction

A type of muscle contraction that occurs when the muscle lengthens under tension, such as when lowering a weight.

Concentric Contraction

A type of muscle action where the muscle shortens while generating force, often occurring in lifting movements.