In Firms Using Activity-Based Costing (ABC), Budgeted Total Factory Overhead

question 64

Multiple Choice

In firms using activity-based costing (ABC) , budgeted total factory overhead varies with changes in:

• A) A single cost driver for applying overhead.
• B) Several cost drivers.
• C) The selected denominator activity level.
• D) The quantity of input resources used in operations of the period.
• E) Only batch-level cost drivers.

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Definitions:

Functionalism

An approach in psychology that focuses on the roles and functions of the mind and behavior in individuals' adaptation to their environment.

Purpose of Behaviour

The underlying reason or motive for why a specific action or behavior is performed by an individual.

Behaviourist

A psychological approach focusing on observable and measurable behaviors, discouraging speculation about internal mental processes.

Aggressive or Non-Aggressive

A classification that denotes whether actions, thoughts, or attitudes are intended to harm or are non-harmful in nature.