As the Number of Activities in an ABC System Increases

question 5

Multiple Choice

As the number of activities in an ABC system increases, measurement error tends to:

• A) Increase
• B) Decrease
• C) Stay the same
• D) Focus more on top management

---

Definitions:

Define Group

The process of specifying a set of individuals or items that share one or more characteristics, for the purpose of categorization or analysis.

Crystal Ball

A metaphorical term often used in decision making and forecasting to represent the ability to predict future events or outcomes.

Risk Analysis

The process of identifying and assessing potential risks and their impacts, used in finance, security, engineering, and many other fields to inform decision-making.

Risk

Exposure to the chance of loss or damage, often quantified in terms of probability and impact.