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Question 9 The more activities tracked by activity-base...The more activities tracked by activity-based costing, the more accurately overhead costs are assigned. True False Question 10

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Question 9 The more activities tracked by activity-base...The more activities tracked by activity-based costing, the more accurately overhead costs are assigned. True False Question 10 Overhead costs: Are directly related to production Can be traced to units of product in the same way that direct materials can. Cannot be traced to units of product in the same way that direct labor can. Include only fixed costs. Question 11 A retail store has three departments, 1, 2, and 3, and does general advertising that benefits all departments. Advertising expense totaled $41,000 for the year, and departmental sales were as follows. Which department would be allocated the highest amount of the advertising expense if the activity base is sales? Sales Department 1$101,000 Department 2 Department 3 $212,750 $157,750 Department 1 Department 2 Department 3 Each department would have and equal amount since advertising benefits all departments

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