If the Cost of an Activity Increases with the Number

question 160

Multiple Choice

If the cost of an activity increases with the number of purchase orders placed, rather than to the quantity of items purchased, it is which of the following?

• A)market-sustaining cost
• B)output unit-level cost
• C)facility-sustaining cost
• D)product-sustaining (service-sustaining)costs
• E)batch-level cost