Which of the Following Statements Is False

question 67

Multiple Choice

Which of the following statements is false?

• A) Conventional costing systems tend to over cost high-volume product lines.
• B) Conventional costing systems tend to create a product cost distortion problem.
• C) In conventional costing,the high-volume products are often subsidising the low-volume products.
• D) Conventional product costing systems recognise a range of non-volume-based cost drivers.

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Definitions:

Homeostasis

The tendency of a biological system to maintain stable internal conditions despite external changes.

Drive-reduction Approach

A theory in psychology that posits motivation arises from the need to reduce drives from physiological states of tension, such as hunger or thirst.

Motivation Approach

The study or practice of understanding the processes that activate, guide, and maintain goal-oriented behaviors.

Survival Value

The degree to which something (behavior, trait, or mechanism) enhances the chances of survival and reproduction in a given environment.