Which of the Following Primary Scales of Measurement Is Recognized

question 5

Multiple Choice

Which of the following primary scales of measurement is recognized as the most basic or limited?

• A) ordinal scales
• B) nominal scales
• C) ratio scales
• D) interval scales
• E) random scale

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Definitions:

Absorption Costing

A costing method that includes all manufacturing costs, both fixed and variable, in the cost of goods sold.

Predetermined Overhead Rate

A rate calculated before the accounting period begins, used to allocate manufacturing overhead costs to individual products based on a certain activity base.

Normal Cost System

A costing system in which overhead costs are applied to a job by multiplying a predetermined overhead rate by the actual amount of the allocation base incurred by the job.

Job Cost Sheet

A document that records the materials, labor, and manufacturing overhead costs assigned to each individual job in production.