2. Which of the following would be an appropriate cost-allocation base for allocating the cost of the company cafeteria? Ans: A. Number of hours; B. Number of meal served; C. Salaries of employe pruchase the meal; D. squire-footage occupied by the department.

1. Which of the following items could be used as the cost driver for a volume-level cost in an activity-based cost (ABC) system? Ans: A. Manufacturing overhead;

B. Direct labor hours

C. Administrative costs

D. Square footage