Figure 3.4 -Refer to Figure 3.4. How Many Units Will Be Sold

question 94

Multiple Choice

Figure 3.4

-Refer to Figure 3.4. How many units will be sold at the equilibrium price?

• A)700
• B)600
• C)400
• D)300

---

Definitions:

Activity-Based Costing

A pricing technique that allocates expenses to goods or services according to the tasks and materials involved in their creation.

Activity Cost Pools

A costing method that groups all the costs associated with a specific activity, allowing more accurate allocation of costs to products or services.

Activity Cost Pools

Aggregations of all the overhead costs associated with specific activities, used in activity-based costing.

Customer Margin

The profit generated from a particular customer, calculated by subtracting the costs associated with serving that customer from the revenue they generate.