Which One of the Four Levels of the Cost Hierarchy

question 53

Multiple Choice

Which one of the four levels of the cost hierarchy would be used by a dress manufacturer that uses activity-based management for the routine maintenance of sewing machines?

• A) Unit-level activity
• B) Batch-level activity
• C) Product-level activity
• D) Facility-level activity

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Definitions:

Creator

An individual or entity that brings something new into existence or is responsible for the original conception of a work or idea.

Resulting Trust

A trust that arises by implication of law when one person holds property for the benefit of another under certain circumstances, typically when the title holder is not intended to have beneficial ownership.

Contract

A legally binding agreement between two or more parties, outlining obligations and rights concerning particular terms or services.

Beneficiary

An individual or entity entitled to benefits or proceeds from a will, insurance policy, retirement account, or other contractual arrangement.