Select the Incorrect Statement from the Following

question 140

Multiple Choice

Select the incorrect statement from the following.

• A) The difference between a direct cost and an indirect cost is that a direct cost relates to a given cost object while an indirect cost does not.
• B) Actual costs are useful for evaluating managerial performance.
• C) Actual costs are not relevant in many decisions because actual costs cannot be determined until after the decision has been made.
• D) When accumulating the cost of a specific cost object, the indirect costs are allocated to the cost object.

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Definitions:

Constitutional Checks and Balances

A system in which different branches of government have powers that can prevent the other branches from gaining too much power, maintaining balance.

Rule-Making Process

The Rule-Making Process involves the procedures and steps that federal or state agencies follow to formulate, amend, or repeal regulations.

Internal Codes

Policies, rules, or guidelines adopted within an organization or institution to govern its operations and conduct.

Administrative Agency

A government body empowered to implement particular legislation, manage public policy, and regulate certain activities within its jurisdiction.