Which of the Following Statements Is False Regarding Cost Drivers

question 13

Multiple Choice

Which of the following statements is false regarding cost drivers?

• A) A particular cost driver may be used for more than one activity.
• B) If employees know the cost driver(s) for their department, it may motivate them to be more efficient.
• C) The selection of a cost driver should be based on the correlation it has with direct materials used in the production process.
• D) The best cost driver for a particular activity may be different from one company to the next.

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Definitions:

Behave Aggressively

Displaying actions or intentions that can cause harm or violence towards others or oneself.

Parental Warmth

The affection, support, and nurturance provided by a parent to their child, contributing to the child's emotional and psychological development.

Social Well-being

A dimension of well-being that involves having fulfilling relationships, social integration, support, and an understanding of community.

Prosocial Behavior

Behavior intended to benefit another without expectation of reward.