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Question 7 Consider the following activities that take place in a medical clinic. (a.) Cleaning exam rooms. (b.) Heating and air conditioning the clinic. (c.)

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Question 7 Consider the following activities that take place in a medical clinic. (a.) Cleaning exam rooms. (b.) Heating and air conditioning the clinic. (c.) Sending blood work to a lab. (d.) Dispensing medicine. Which of the following statements is true? Cleaning rooms and heating the clinic are both unit level activities. Sending blood work to the lab is a batch level activity. Sending blood work and dispensing medicine are both batch level activities. Cleaning rooms and dispensing medication are both product or service level activities. Heating the clinic and dispensing medication are both batch level activities. Question 8 A company uses activity-based costing to determine the costs of its three products: A, B, and C. The budgeted cost and activity for each of the company's three activity cost pools are shown in the following table: Budgeted Act/yity Activity Cost Pool Activity 1 Activity 2 Activity Budgeted Cost $70,000 S45,000 $82,000 Product A 6,000 7,000 2.500 Product B 9.000 15.000 1.000 Product C 20.000 8.000 1.625 Which of the following statements is true regarding this company's activity rates? The activity rate under the activity-based costing system for Activity 2 is $2.00. The activity rate under the activity-based costing system for Activity 2 is $16.00. The activity rate under the activity-based costing system for Activity 2 is $1.50. The activity rate under the activity-based costing system for Activity 2 is $19.50. The activity rate under the activity based costing system for Activity 2 is 52.81

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