Confused

31. When comparing regression analysis to the high-low method for developing a cost equation, which of the following statements is incorrect? a. The high-low method will always provide a more useful equation than the regression analysis. b. Regression analysis uses all the data points while the high-low method uses just two. c. The presence of outliers can interfere with our ability to create a useful cost equation no matter which method we use. d. Regression analysis allows us to develop more complex models of cost than does the high-low method. 32. Which of the following is not a consequence of a sales budget developed by an overly optimistic marketing department? a. Too much inventory may be produced. b. Too much material will be ordered. c. Direct labor resources will be reduced. d. Cash receipts will be over-budgeted. 33. Which of the following statements is FALSE regarding activity-based costing? a. Activity-based product costs are based on the consumption of multiple activities by each product rather than on consumption of one overhead base as in the traditional method. ABC typically shifts costs from low volume (complex) products to high volume (standard) products. C. Non-value-added activities are those activities that consume resources but do not contribute to the product's value (what customers are willing to pay for). d. The difference between traditional product costs and activity-based product costs lies in the way manufacturing overhead is allocated. 34. The categories of activities that are required to produce and sell products, non-value-added and value-added, are defined from which of the following perspectives? a. Industry b. Management C. Customer d. Organization 35. NPV of a project is equal to $45,000. This means... IRR Discount Rate C. IRR = Discount Rate d. None of the above