Multiple Choice
Which of the following statements about activity based costing is not true?
A) Activity based costing differs from traditional costing systems in that products are not cross subsidized
B) In activity based costing, cost drivers are usually what cause costs to be incurred
C) Activity based costing is more likely to result in major differences from traditional costing systems if . the firm manufactures only one product rather than multiple products
D) Activity based costing is useful for allocating marketing and distribution costs
Correct Answer:

Verified
Correct Answer:
Verified
Q34: It is always better to use activity-based
Q35: Traditional cost accounting systems can be effective
Q36: A cost-driver base should be based on
Q37: Use the following to answer questions:<br>Ferguson Molding
Q38: Many traditional cost accounting systems do not
Q40: Movement of materials for products in production
Q41: Facility- level activities are at the lowest
Q42: Maintenance costs are typically considered product-level resources.
Q43: The Great Island Preserve Company buys fruit
Q44: Under activity-based costing, only unit level and