In Equity Theory, Distributive Justice Is Concerned with Which of the Following

question 36

Multiple Choice

In equity theory, distributive justice is concerned with which of the following?

• A)comparing one individual to an entire system
• B)comparing output-to-input ratios among individuals
• C)comparing output-to-input ratios among large groups
• D)comparing fairness between different cultures

Identify the advantages and disadvantages of using volume-based vs. activity-based costing.

Understand the difference between theoretical, practical, and normal capacity and their implications on cost allocation.

Assess the impact of different costing methods (variable costing and absorption costing) on financial performance.

Recognize the role and calculation of contribution margin in decision making.

---

Definitions:

IAS 21

The International Accounting Standard that provides guidance on how to account for foreign currency transactions and operations in financial statements.

Reporting Entity

An entity, such as a company or organization, that is required to prepare financial statements to provide information about its financial performance and position.

Local Currency

The currency that is legally in use within a country, as opposed to foreign currency.

Jurisdiction

The official power to make legal decisions and judgements, often in a specific geographical area.