Which of the Following Activities Is NOT Associated with the Cost

question 120

Multiple Choice

Which of the following activities is NOT associated with the cost management information system?

• A)preparing a cost of quality report
• B)preparing a performance report that compares actual costs to budgeted costs
• C)determining the cost of a customer
• D)using future expected earnings to estimate the price of a share of common stock

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Definitions:

Ordinary Care

The level of care that a reasonably prudent person would exercise in similar circumstances; a standard for negligence determination.

Reasonable Care

The degree of caution and concern an ordinarily prudent person would use in similar circumstances, often used as a standard for determining negligence.

Good Faith

An honest intention to act without taking an unfair advantage over another party.

Limit Liability

A legal principle or provision that caps the amount one can be held responsible for in case of damage or loss.