Answer the Following Questions Using the Information Below

question 37

Multiple Choice

Answer the following questions using the information below:
At the Todd Company, the cost of the personnel department has always been charged to production departments based upon number of employees. Recently, opinions gathered from the department managers indicate that the number of new hires might be a better predictor of personnel costs.

-Which cost estimation method is being used by Todd Company?

• A)the industrial engineering method
• B)the conference method
• C)the account analysis method
• D)the quantitative analysis method

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Definitions:

Status Group

A group of individuals who share a similar social status, often determined by their occupation, income, or education level.

Stratification System

The hierarchical arrangement of individuals in society based on wealth, power, race, education, etc., determining their social status or class.

Feudalism

A historical system of political and military obligations among warriors and lords, characterized by the exchange of land for service during the Middle Ages.

Davis and Moore

Sociologists who proposed a theory that social stratification is beneficial for the operation of a society.