1.

If my Current Ratio is significantly above or below industry averages, I would examine

All my liabilities

Cash-Accounts Receivable-Inventory

All current and long- term assets

None of the above

2.

An advantage of activity cost pools is that it?

Accumulates costs relating to a single activity

Accumulates costs relating to only multiple activities

Accumulates costs relating to break even activities

Accumulates costs relating to margin of safety activities

3.

Traditional cost systems tend to over-cost standard stanchions which result in?

Reporting higher profit margins for a product

Reporting lower profit margins for a product

Reporting only the break-even margins for a product

Reporting only the negative profit margins for a product