Activity-Based Costing and Generally Accepted Accounting Principles Differ in That

question 126

Multiple Choice

Activity-based costing and generally accepted accounting principles differ in that ABC

• A)does not define product costs in the same manner as GAAP.
• B)cannot be used to compute an income statement,but GAAP can.
• C)is concerned only with costs generated from automated processes,but GAAP is concerned with costs generated from both manual and automated processes.
• D)information is useful only to managers,while GAAP information is useful to all organizational stakeholders.

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Definitions:

Job Enrichment

A method of motivating employees by providing them with variety in their tasks and opportunities for growth and responsibility.

Job Specialization

The process of focusing one's work and skill development on a specific area of expertise to increase efficiency and productivity.

Task Significance

The degree to which a job has a substantial impact on the lives or work of other people, within or outside the organization.

Independence

The state of having the self-autonomy and freedom to make decisions without undue influence from others.