Which of the Following Statement(s) Regarding Activity-Based Costing Is (Are)

question 103

Multiple Choice

Which of the following statement(s) regarding activity-based costing is (are) true? I. Use of activity-based costing improves cost tracing by using more cause-and-effect relationship to assign indirect costs to activity centers.II. An activity-based system is characterized by multiple cost pools and multiple volume and activity cost drivers.III. Activity-based costing can cause distortion of cost, assigning too much cost to some products and too little to others.

• A)I and III
• B)I and II
• C)II and III
• D)III only

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Definitions:

Individual Contracts

Individual contracts are agreements between two parties where specific services, terms, and conditions are specified and agreed upon by both.

Family Engagement

The involvement and active participation of families in their children's education and developmental processes.

Positive Attitudes

A mindset characterized by optimism and constructive thinking, enhancing one's ability to face challenges and interact positively with others.

Behavior Problems

Actions or attitudes displayed by individuals that are disruptive or undesirable according to societal norms.