-Using the Information Above, Which Distribution Is the Most Homogeneous

question 31

Multiple Choice

$\begin{array}{lcc}& \text { Mean } &\text {Standard } \\& &\text { Deviation } \\ \text { Distribution \#1 }& 80&6 \\ \text { Distribution \#2 }& 60 & 8 \\ \text { Distribution \#3 }& 70& 7 \\\end{array}$

-Using the information above, which distribution is the most homogeneous?

• A) 1
• B) 2
• C) 3
• D) Cannot determine

---

Definitions:

Activity Method

A depreciation method where the asset’s expense is based on its usage or activity level, rather than the passage of time.

Unit Cost

The cost incurred by a company to produce, store, and sell one unit of a particular product or service.

Declining-Balance Method

A method of calculating depreciation that results in larger depreciation charges in the early years of an asset's life and smaller charges later on.

Straight-Line Method

A depreciation technique where an equal amount of depreciation expense is recognized for an asset over each year of its useful life.