Which of the following statements is 1. In a Cost Analysis report in time-based activity-based costing, the rate for an activity is computed by dividing the minutes required of the resource per unit of activity by the cost per minute of the resource supplied. 2. In time-based activity-based costing, the practical capacity percentage is an estimate of the company's capacity in relation to its closest competitor. A) Only statement 1 is true. B) Only statement 2 is true. C) Both statements 1 and 2 are true. D) Neither statement is true.

Which of the following statements is true? 1. In a Cost Analysis report in time-based activity-based costing, rate for an activity is computed by dividing the minutes red. of activity by the cost per minute of the resource supplied. 2. In time-based activity-based costing, the prast competitor. the company's capacity in relation to its closest competitor. A) Only statement 1 is true. B) Only statement 2 is true. C) Both statements 1 and 2 are true. D) Neither statement is true