The First Step to Developing a Realistic Budget Is to ______________

question 6

Multiple Choice

The first step to developing a realistic budget is to ______________.

• A)track your expenses for one month
• B)look for cheaper housing
• C)sell your car
• D)stop buying organic foods

---

Definitions:

Unit Product Cost

The total cost associated with producing a single unit of product, including direct materials, direct labor, and manufacturing overhead.

Activity-Based Costing

A costing method that identifies activities in an organization and assigns the cost of each activity resource to all products and services according to the actual consumption by each, aiming for more accurate cost management.

Product A4

A specific item or service offered by a business, designated with the identifier A4.

Traditional Costing Method

A pricing technique that assigns factory overhead costs to products using volume-based metrics like direct labor hours or machine hours.