14. Which of the following companies would be most likely to use a process costing system? A. Oil refinery B. Hospital C. Movie studio D. Ship builder 15. The plant manager's work is an example of a: A. Batch level activity B. Product level activity C. Facility level activity D. Unit level activity 16. Managers often allocate common fixed expenses to business segments because A. They do not want the sum of the business segment margins to equal the net operating income for the company B. They believe this practice will ensure that the company's common fixed expenses are covered C. It is required by law D. Not allocating these costs will lead to bad decisions 17) Opportunity costs are: me as historical costs A. The B. The same as variable costs C. Relevant in decision making D. Not used in for decision making 18) A particular product line should be kept if its: A) Total fixed costs are more than its contribution margin B) Avoidable fixed costs are less than its contribution margin C) Unavoidable D) variable costs are more than its fixed costs costs are more than its contribution margin 19) ABC Company listed the following data for the current year Budgeted factory overhead Budgeted direct labor hours 1,044,000 69,600 Budgeted machine hours Actual Factory overhead Actual labor hours 24,000 1,037,400 72,600 23,600 Actual machine hours Assuming ABC Company applied overhead based on direct labor hours, the company's predetermined overhead rate for the year is