Which of the Following Statements Is False

question 11

Multiple Choice

Which of the following statements is false?

• A) Under traditional costing, product cost distortions will be relatively insignificant if overhead costs are a small proportion of product cost.
• B) Activity-based costing will significantly improve the product cost accuracy where overhead costs are a small proportion of total costs.
• C) Activity-based costing will significantly improve product cost accuracy where there is significant product diversity.
• D) Upstream and downstream costs are often a significant part of a product's costs.

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Definitions:

Preoperative Preparation

The process of readying a patient for surgery, which may include medical evaluations, fasting, and instructions about medications.

Nail Polish

A cosmetic product applied to fingernails or toenails to color them and improve their appearance.

Hearing Aid

A device designed to improve hearing by making sound audible to a person with hearing loss.

Pulmonary Embolism

A blockage in one of the pulmonary arteries in the lungs, usually caused by blood clots that travel to the lungs from the legs or other parts of the body.