Answer the Following Questions Using the Information Below

question 79

Multiple Choice

Answer the following questions using the information below:
Cannady produces six products.Under their traditional cost system using one cost driver,SR6 costs $168.00 per unit.An analysis of the activities and their costs revealed that three cost drivers would be used under the new ABC system.The new cost of SR6 was determined to be $178.00 per unit.
-Given this change in the cost:

• A)SR6 has benefited from the new system.
• B)the costing results for SR6 under the new system depend on the adequacy and quality of the estimated cost drivers and costs used by the system.
• C)SR6 will now command a higher sales price.
• D)SR6 is definitely more accurately costed.

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Definitions:

Steroid Hormones

Steroid hormones are a class of hormones derived from cholesterol that act as chemical messengers in the body, including sex hormones and corticosteroids.

Plasma Membrane

The lipid bilayer membrane that surrounds a cell, controlling the movement of substances in and out of the cell.

Lipid Soluble

A characteristic of substances that can dissolve in fats, oils, and non-polar solvents, allowing them to pass easily through cell membranes.

Oxytocin

A hormone and neurotransmitter involved in childbirth and lactation, as well as in the formation of social bonds and the reduction of stress responses.