The marginal cost is: Select one: a. Is the incremental cost of an activity, such as producing a unit of goods or services O b. Is the cost that causes change in total cost for a cost object O c.Is the span of activity levels for which the cost behaviour patterns hold d. Is the input or activity that causes change in total cost for a cost object

The marginal cost is: Select one: a. Is the incremental cost of an activity, such as producing a unit of goods or services O b. Is the cost that causes change in total cost for a cost object O c.Is the span of activity levels for which the cost behaviour patterns hold d. Is the input or activity that causes change in total cost for a cost object

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter6: Activity-based, Variable, And Absorption Costing

Section: Chapter Questions

Problem 12MC: Which statement is correct? A. Activity-based cost systems are less costly than traditional cost...

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Similar questions

In the cost equation Y=a+bx, Y represents which of the following? A. fixed costs B. variable costs C. total costs D. units of production
Describe how total fixed costs and unit fixed costs behave with changes in the level of activity.
Which of the following graphs best illustrates fixed costs per unit as the activity base changes?
Describe how total fixed costs and unit fixed costs behave with changes in the level of activity.
What advantage does the FIFO cost method have over the average cost method relative to providing information for cost control?
Explain the differences among fixed costs, variable costs, and mixed costs.
What is target costing? Describe how costs are reduced so that the target cost can be met.
How does the length of the time horizon affect the classification of a cost as fixed or variable? What is the meaning of short run? Long run?
Which statement is correct? A. Activity-based cost systems are less costly than traditional cost systems. B. Activity-based cost systems are easier to implement than traditional cost systems. C. Activity-based cost systems are more accurate than traditional cost systems. D. Activity-based cost systems provide the same data as traditional cost systems.
A scatter graph is used to test the assumption that the relationship between cost and activity level is __________________________. A. curvilinear B. cyclical C. unpredictable D. linear
The ability to assign a cost directly to a cost object by means of a causal relationship is a. allocation b. traceability c. separability d. value chain process