Which of the Following Statements Regarding Activity-Based Costing (ABC) Is

question 49

Multiple Choice

Which of the following statements regarding activity-based costing (ABC) is true?

• A) Resources consume activities and products consume costs.
• B) Activities consume resources and products consume activities.
• C) Costs consume activities and products cause costs.
• D) Resources consume activities and activities cause costs.

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Definitions:

Central Tendency

A statistical measure that identifies a single value as representative of an entire distribution of data, commonly the mean, median, or mode.

Positively Correlated

A relationship between two variables where both variables move in the same direction, meaning that as one variable increases, the other also increases, or as one decreases, the other also decreases.

Diet Drugs

Medications prescribed to aid in weight loss by suppressing appetite, increasing metabolism, or inhibiting fat absorption.

Heart Valve Defects

Abnormalities or malfunctions of one or more of the heart's valves that can disrupt blood flow through the heart, potentially leading to various health issues.