When Using Activity-Based Costing All of the Following Are True

question 36

Multiple Choice

When using activity-based costing all of the following are true EXCEPT that:

• A)all cost drivers should be output unit-level cost drivers.
• B)there are a great number and variety of cost drivers and cost pools.
• C)the more cost pools,the greater the chance of estimation error.
• D)industrial engineering,conference,and regression analysis can be used to estimate slope coefficients.

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Definitions:

Arteriovenous Shunts

Connections created between arteries and veins, often used for hemodialysis in patients with kidney failure.

Mastectomy

A surgical operation to remove one or both breasts partially or completely, often as a treatment for breast cancer.

Heart Attack

A medical emergency where the blood flow to the heart is suddenly blocked, leading to damage or death of heart muscle.

Piloerection

It refers to the involuntary erection of hairs on the skin, caused by the contraction of tiny muscles at the base of hair follicles, often in response to cold or fear.