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Unformatted text preview: Study question Ch. 8 1. Which terms would make the following sentence true? Manufacturing companies that benefit the most from activity-based costing are those where overhead costs are a _________ percentage of total product cost and where there is ___________ diversity among the various products that they produce. A. low, little B. low, considerable C. high, little D. high, considerable 2. Would factory security and assembly activities be best classified at an appliance manufacturing plant as unit- level, batch-level, product-level, or organization-sustaining? Security Assembly A) Product Unit B) Batch Batch C) Organization Unit D) Organization Product A. Item A B. Item B C. Item C D. Item D 3. Which of the following would be an acceptable measure of activity for a material handling activity cost pool? A. Item A B. Item B C. Item C D. Item D 4. An activity-based costing system that is designed for internal decision-making generally will not conform to generally accepted accounting principles. Which of the following is NOT a reason for this happening?...
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- Spring '09