Which of the Following Statements Is FALSE

question 39

Multiple Choice

Which of the following statements is FALSE?

• A)Traditional cost systems generally assign only production costs to products.
• B)Only one cost driver is acceptable when indirect manufacturing costs are a large proportion of total costs.
• C)Traditional cost systems work well with simple production and operating systems.
• D)Cost drivers can be expressed in dollar amounts.

---

Definitions:

Ordinary Annuity

Harmony of equal contributions at the end of each cycle for a particular duration.

Expressed

Clearly stated, articulated, or otherwise made known in explicit terms.

Years

Units of time measuring 365 or 366 days, used as a standard time period for comparing durations.

Months

Units of time corresponding approximately to one cycle of the moon's phases, used in planning and organizing activities over a period, typically consisting of 30 or 31 days, except for February.