Direct Labor-Hours or Direct Labor Cost Should Not Be Used

question 12

True/False

Direct labor-hours or direct labor cost should not be used as a measure of activity in an activity-based costing system.

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Definitions:

Competitive Exclusion

A principle stating that two species competing for the same limited resources cannot coexist at constant population values, if other ecological factors remain constant.

Edge Effect

A phenomenon in ecology where increased diversity and different species are found at the boundary between two different habitats.

Coevolution

The process whereby two or more species reciprocally affect each other's evolution over time.

Coevolution

The process by which two or more species influence each other's evolutionary development through reciprocal selective pressures.