Which of the Following Statements Concerning Activity-Based Costing Is Correct

question 10

Multiple Choice

Which of the following statements concerning activity-based costing is correct?

• A) ABC is a refinement of job costing.
• B) Direct labour hours can be a cost driver for ABC.
• C) ABC was introduced because of globalisation.
• D) ABC is most useful when a smaller number of similar products are produced by a firm.

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Definitions:

Kennedy

A reference to the prominent American political family, particularly John F. Kennedy, the 35th President of the United States (1961-1963).

Latin America

A region in the Western Hemisphere comprising countries where Romance languages—primarily Spanish and Portuguese, alongside French—are predominantly spoken.

Alliance For Progress

An initiative launched by U.S. President John F. Kennedy in 1961 aimed at establishing economic cooperation between the U.S. and Latin America.

Economic Aid

Economic aid is assistance given by one country or international organization to another in forms such as grants, loans, or credits to support the receiving country's economy.