Using Only Unit-Based Activity Drivers to Assign Nonunit-Related Overhead Costs

question 111

Multiple Choice

Using only unit-based activity drivers to assign nonunit-related overhead costs can cause

• A) product diversity.
• B) distorted product costs.
• C) efficiency.
• D) activity sharing.
• E) None of these.

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Definitions:

Conditioned Stimulus

A formerly neutral stimulus that becomes capable of triggering a conditioned response after it is associated with an unconditioned stimulus.

Unconditioned Response

An automatic reaction to a stimulus that occurs naturally, without the need for prior learning or conditioning.

Conditioned Response

A learned response to a previously neutral stimulus that has become conditioned by being paired with an unconditioned stimulus.

UCS

Unconditioned Stimulus; a stimulus that triggers a naturally occurring response without the need for prior learning.