Where Management Uses a Single Cost-Driver Rate to Allocate Indirect

question 13

Multiple Choice

Where management uses a single cost-driver rate to allocate indirect production costs to outputs,___________ cost data are often the result.

• A)reliable
• B)complex
• C)simplified
• D)unreliable

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Definitions:

Organizational Culture

Reflects the set of values, traditions, and customs that guide a firm’s employees’ behavior.

Geography

The study of places, the relationships between people and their environments, and how physical and human processes interact on Earth.

Autocratic Buying Center

A buying center in which one person makes the decision alone, though there may be multiple participants.

Majority Rules

A decision-making principle whereby the option that receives the most votes or support among a group is chosen.