Which of the Following Would Be an Example of a Unit-Based

question 33

Multiple Choice

Which of the following would be an example of a unit-based cost driver?

• A) engineering orders
• B) direct labor hours
• C) inspection hours
• D) material moves

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Definitions:

Standard Deviation (σ)

A measure of the amount of variation or dispersion of a set of values; a low standard deviation indicates that the values tend to be close to the mean, while a high standard deviation indicates that the values are spread out over a wider range.

Mean (μ)

The average of a set of numbers, calculated by dividing the sum of these numbers by the count of numbers in the set.

Standard Deviation (σ)

An indicator that evaluates the degree of scatter or inconsistency of data points around the mean of the dataset.

Normal Model

A statistical model that assumes the data follow a normal (Gaussian) distribution.