Question
11. If only one or two overhead cost pools are used, Group of answer choices a. it will be easy to determine which products or
11. If only one or two overhead cost pools are used,
Group of answer choices
a. it will be easy to determine which products or services are creating the most costs.
b. allocations should be made using only unit-based cost drivers.
c. the reduction in cost accumulation and allocation time will raise company profits.
d. overhead created by a specific product will be assigned to all products.
14. Which of the following statement is false?
Group of answer choices
a. Service companies can effectively use activity-based costing to compute product (service) costs.
b. Activity-based costing can be used to allocate period costs to various products that the company sells.
c. The activity information from an ABC product costing system can be used to isolate cost improvement opportunities.
d. Activity-based costing can only be used to allocate manufacturing factory overhead.
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