Activity-Based Costing Relies Heavily on Broad Averages to Assign Costs

question 46

True/False

Activity-based costing relies heavily on broad averages to assign costs to jobs, products, and services.

---

Definitions:

Galvanic Device

A device that generates electrical energy through the chemical reaction between different metals in an electrolyte.

Chemical Action

The process of substances interacting at a molecular level to produce a chemical change.

Specific Gravity

A measure of the density of a substance compared to the density of water, indicating how heavy or light the substance is relative to water.

Equal Volume

The condition or measurement where two or more containers or spaces contain the same amount of substance or material.