Which of the Following Statements Concerning Activity-Based Costing (ABC)is Not

question 3

Multiple Choice

Which of the following statements concerning activity-based costing (ABC) is not true?

• A) ABC can be applied in service businesses as well as in manufacturing businesses.
• B) It has been introduced to overcome distortions in costing multiple products which occur when a single base is used to apply overhead to products.
• C) ABC is cheaper and less time consuming to implement than traditional costing systems.
• D) Overhead costs are accumulated by activities and then assigned to cost objects using a different cost driver for each activity.

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Definitions:

Temperament

Temperament refers to the innate aspects of an individual's personality, such as their tendency towards certain moods and behaviors, which are evident from an early age.

Genetic Basis

The underlying foundation in the genes that contributes to the development of specific traits or conditions.

Co-sleeping

The practice of parents and young children sleeping in close proximity to one another, often in the same bed.

Culturally Valued

Considered important or beneficial according to the norms and values of a specific culture or society.