Which of the Following Statements Is FALSE

question 61

Multiple Choice

Which of the following statements is FALSE?

• A)An unallocated cost for one company may be a direct cost for another company.
• B)The cost of a system for tracing costs to cost objects should be less than its expected benefit.
• C)A cost driver is a measure that causes the costs in a cost pool.
• D)Because of the rise in direct costs for most companies,allocating direct costs is important in most companies today.

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Definitions:

Mailbox Rule

A legal principle that considers a contract offer as accepted once the acceptance has been placed in the mailbox for return, even if it has not yet been received by the offeror.

Acceptance

In contract law, refers to the expression by the offeree to agree to the terms of an offer, resulting in a binding contract.

Offer

A proposal by one party to form a contract, which becomes binding if accepted by the party to whom it's made.

Genuineness Of Assent

Knowing and voluntary assent to the terms of a contract. If a contract is formed as a result of mistake, misrepresentation, undue influence, or duress, genuineness of assent is lacking, and the contract will be voidable.