Which of the Following Is a Weakness of Activity-Based Budgeting

question 3

Multiple Choice

Which of the following is a weakness of activity-based budgeting?

• A) Budget allocations are independent of work performed
• B) Institutionalizes past spending patterns
• C) Requires voluminous data to create
• D) Does not encourage efficiency
• E) Allocation of overhead costs

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Definitions:

Dependent Samples

Refers to a set of paired data points where each member of one set is naturally or intrinsically linked or matched to a member of the other set.

Test Statistic

A value computed from sample data that is used in a hypothesis test to determine whether to reject the null hypothesis.

T Represent

T represent, likely a mistype for "T value", is a statistical measure that indicates the standard deviation difference between two sample means, commonly used in t-tests.

Obtained Value

The actual value resulting from a statistical test, which is compared against a critical value to determine significance.