If 10,000 KCAL of Energy Were Contained in the Primary

question 21

Multiple Choice

If 10,000 KCAL of energy were contained in the primary producers, on average how many KCAL of energy would you expect to be transferred to third-order consumers?

• A) 10,000 KCAL
• B) 1000 KCAL
• C) 100 KCAL
• D) 10 KCAL
• E) 1 KCAL

---

Definitions:

Activity Base

A measure used in costing, representing a unit of activity that triggers costs, helping to allocate costs more accurately.

Factory Overhead

Factory overhead refers to all indirect costs associated with manufacturing, excluding direct materials and direct labor expenses.

Direct Labor Hours

The total hours worked by employees directly involved in the production process.

Predetermined Factory Overhead Rate

A rate calculated before a period begins, used to allocate estimated overhead costs to individual units of production based on a specific activity base.