Which of the Following Is Not a Goal of the "Parity

question 67

Multiple Choice

Which of the following is not a goal of the "parity concept" in U.S. agriculture policy?

• A) Farm households' real income from a given amount of real output should stay the same from year to year.
• B) The ratio of prices paid by farm households to prices received by farm households should remain about the same from year to year.
• C) The average farm households' income should remain at par or equal to the average income of all households.
• D) Changes in the prices paid by farm households should be matched by a proportionate increase in the prices received by farmers.

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Definitions:

Activity Rate

A rate that determines the cost driver of a particular activity, used in activity-based costing to allocate costs to products or services.

Supervising

The act of overseeing and managing employees or processes to ensure that tasks are completed efficiently and effectively.

First Stage Allocations

The initial process in cost accounting of assigning overhead costs to different departments or cost pools.

Activity-Based Costing

A costing method that assigns overhead and indirect costs to specific activities, providing more accurate product cost information.