In Many Cases,________ Integration Is More Profitable Than ________ Integration

question 10

Multiple Choice

In many cases,________ integration is more profitable than ________ integration.

• A) forward; backward
• B) vertical; backward
• C) backward; vertical
• D) backward; forward
• E) mass; forward

---

Definitions:

Batch-level Activities

Operations and tasks performed for a group of units produced as a single batch, costing is aggregated at the batch level.

ABC

Activity-Based Costing, a method of allocating costs to products or services based on the resources they consume.

Unused Capacity

Refers to the resources or capabilities within a business that are not currently being used to their full potential, which can lead to inefficiencies or lost income.

Activity-based System

An activity-based system is a method of assigning costs to products or services based on the activities that go into producing them, aiming to provide more accurate cost information.