In the BCG Matrix, a Business Unit That Has a High

question 106

Multiple Choice

In the BCG matrix, a business unit that has a high anticipated growth rate but a low market share is known as a ________.

• A) star
• B) dog
• C) cash cow
• D) question mark

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Definitions:

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.

Activity-Based Costing

A costing method that assigns overhead and indirect costs to specific activities, providing more accurate insights into the true costs of production.

Activity Rates

In activity-based costing, the cost allocation rate for each activity cost pool, allowing for more accurate product or service costing.