Which of the Following Is Not an Advantage of Activity-Based

question 102

Multiple Choice

Which of the following is not an advantage of activity-based costing?

• A) Activity-based costing is easier and less time consuming to calculate.
• B) Activity-based costing information can be used to make decisions that will lead to improved customer satisfaction and greater profits.
• C) More accurate cost information can be obtained by using activity-based costing.
• D) Activity based costing considers the resources each product actually uses, so management can better control overhead costs.

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Definitions:

Organic Compound

A chemical compound that contains carbon atoms bonded to hydrogen atoms and often other elements, found in all living organisms.

Microbes

Microscopic organisms, including bacteria, viruses, fungi, and protozoa, some of which can cause disease.

Peptidoglycan

A polymer consisting of sugars and amino acids that forms a mesh-like layer outside the plasma membrane of most bacteria, providing structural support and shape.

Archaea

A domain of single-celled microorganisms that are similar to bacteria but have unique genetic, biochemical, and physiological characteristics.