Discrimination Creates a

question 221

Multiple Choice

Discrimination creates a

• A) redistribution of a larger domestic output.
• B) larger domestic output but no redistribution.
• C) smaller domestic output but no redistribution.
• D) redistribution of a smaller domestic output.

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Definitions:

Activity Cost Pools

A grouping of all costs associated with a particular activity, used in activity-based costing to allocate costs more accurately.

Machine-Hours

A measure of the amount of time a machine is operated for the purpose of producing goods.

Batches

Distinct groups of items or quantities produced or processed at the same time.

Overhead Cost

All costs on the income statement except for direct labor, direct materials, and direct expenses. Overhead costs relate to business operations and are not directly tied to a specific product or activity.