Which of the Following Is True About Direct Costing

question 36

Multiple Choice

Which of the following is true about direct costing?

• A)Direct costing involves certain fixed joint costs that cannot be clearly linked to a single unit of analysis.
• B)Direct costing involves the use of contribution accounting.
• C)Those favoring the direct costing approach argue there is only one accurate way to assign indirect costs.
• D)Direct costing involves the use of occupancy cost.

---

Definitions:

Sensation Seeker

An individual who is characterized by the pursuit of experiences and feelings that are varied, novel, complex, and intense.

Need For Achievement

A psychological trait that drives individuals to pursue and attain challenging goals, often with a significant emphasis on excellence and overcoming obstacles.

Homeostasis

The dynamic process through which biological systems maintain stability and optimal internal conditions despite external changes.

Drives

Basic, innate urges that motivate behavior, such as hunger or thirst.