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3. It only makes sense to implement an ABC system when: A) ABC provides information to make better decisions B) Its benefits exceed implementation costs

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3. It only makes sense to implement an ABC system when: A) ABC provides information to make better decisions B) Its benefits exceed implementation costs C) ABC traces more costs as direct costs D) There is a strong cause-and-effect relationship between costs in the cost pools and their cost- allocation bases 4. Which of the following is a sign that an ABC system may be useful? A) There are small amounts of indirect costs. B) Products batch size, or complexity. make diverse demands on resources because of differences in volume, process steps. C) Products a company is less suited to produce and sell show small profits. D) Operations staff agrees with accountants about the costs of manufacturing and marketing products and services 5. Activity-based costing systems provide better product costs when they: A) Employ more activity-cost drivers B) Employ fewer activity-cost drivers C) Identify and cost more indirect cost differences among products D) Always yield more accurate product costs than traditional systems 6. The goal of a properly constructed ABC system is to: A) Have the most accurate cost system B) Identify more indirect costs C) Develop the best cost system for an economically reasonable cost D) Have separate allocation rates for each department Tema E: Costo por Procesos Terminal #5: Los estudiantes diferenciarn el costo por procesos de otros sistemas para capacitantes #1 : El estudiante identificar las situaciones en que es apropiado usar un acumular costos sistema de costo por procesos SELET THE BEST ANSWERS (Shows computations and references are required) 1. Costing systems that used for the costing of like or similar units of products in mass production called: A) inventory-costing systems B) job-costing systems C) process-costing systems D) weighted-average costing systems

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