Which of the Following Statements About Costs Is FALSE

question 45

Multiple Choice

Which of the following statements about costs is FALSE?

• A)An organization may have cost drivers across various activities of its value chain.
• B)It is important to identify the appropriate cost drivers.
• C)One of the main goals of management accounting is helping managers control costs.
• D)Managers can control costs without understanding how activities of an organization affects its costs.

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Definitions:

Breached a Contract

The failure to perform any term of a contract, written or verbal, without a legitimate legal excuse, which may result in legal action against the party in breach.

Implied Warranties

Warranties not explicitly stated but presumed by law to provide certain assurances regarding the quality or functionality of a product.

Express Warranties

Explicit promises made by a seller to a buyer regarding the quality or nature of a product.

Disclaimed

A statement that denies responsibility, affiliation, or connection to something.