Which of the Following Might Be a Reason That Allocating

question 31

Multiple Choice

Which of the following might be a reason that allocating overhead under an activity-based approach might have less manufacturing overhead allocated to the products?

• A)The general overhead cost pool is not allocated to products under activity-based costing.
• B)The product mix includes products that are not similar in material and labor.
• C)The product mix has all products that are similar in makeup of materials and labor.
• D)The general overhead cost pool is allocated to products under activity-based costing.

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Definitions:

Taking Responsibility

The action of acknowledging and accepting the choices one has made, the actions one has taken, and the results thereof.

Accountable

Accountable means being responsible or answerable for actions or decisions, both in terms of the processes followed and the outcomes achieved.

Liable

Legally responsible or obligated, often referring to the duty to compensate for harm or damage caused.

Blended Value Theorists

Individuals or scholars who advocate for combining social and financial returns in investment and organizational strategy.