All categories

3 years ago

Which of the following statements is true of activity-based costing?

Business

1 answer:

Phantasy [73]3 years ago

5 0

Answer:

Option B (An activity....................same activity) would be the correct choice.

Explanation:

ABC would be used by companies since there would be a variety of resources consumed. Throughout ABC, that each expense is identified as well as identified to something like the operation.
A predetermined overhead price wasn't used so rather than using numerous geographical expense driver amounts.

Only certain costs are defined in the sense of various activities as well as averaged to create each activity cost collection. That is why the above is indeed the correct answer.

You might be interested in

Name some cool crome book games

Lunna [17]

Is that really a question... I hope not.

7 0

4 years ago

The Bear Rug has sales of $811,000. The cost of goods sold is equal to 63 percent of sales. The beginning accounts receivable ba

irina1246 [14]

Answer:

The average collection period is 17.78 days.

Explanation:

In this question, we have to first compute the average receivable turnover ratio.

The formula of the average receivable turnover ratio is shown below:

= Net credit sales ÷ Average accounts receivable

where,

Net credit sales are $811,000

And, the average accounts receivable equals to

= Beginning account receivable + ending accounts receivable ÷ 2

= $41,000 + $38,000 ÷ 2

= $39,500

So, the average receivable turnover ratio equals to

= $811,000 ÷ $39,500

= 20.53

Now, we calculate the average collection period, the formula is shown below

= Total Number of days in a year ÷ average receivable turnover ratio

= 365 ÷ 20.53

= 17.78 days.

Hence, the average collection period is 17.78 days.

3 0

3 years ago

Which rule would apply if an agent knows an applicant is going to cash in an old policy and use the funds to purchase new insura

ELEN [110]

Replacement rule would apply if an agent knows an applicant is going to cash in an old policy and use the funds to purchase new insurance.

Insurance refers to a type of risk management in which the insurer provides the insured with protection from risks of all kinds - financial, health, accidental, etc.

The insured is also called the policyholder, and he makes a payment called premium to be insured. If the specified event for which the insurance cover is provided takes place, the insurer is bound to compensate the insured financially.

A replacement rule delineates the process in which the premium payments on existing policy is discontinued or forfeited, and a new policy is purchased.

To learn more about the replacement rule: brainly.com/question/27922977

#SPJ4

5 0

2 years ago

1. Which of the following ratios are key components in measuring a company's operating efficiency? (You may select more than one

mrs_skeptik [129]

Answer:

Explanation:

1. c. Return on total assets checked

d. Total asset turnover checked

2) b. Debt ratio

3) d. Working capital

4) c. Accounts receivable turnover checked

8 0

3 years ago

Read 2 more answers

The employees of an organization have heard rumors about rapidly dropping profits and impending layoffs. The grapevine is abuzz

Karolina [17]

Answer:

A. neutralize the rumor by openly confirming any parts that may be true.

Explanation:

Here are the options to this question:

A. neutralize the rumor by openly confirming any parts that may be true.

B. restrict the length of breaks taken by the employees.

C. closely monitor each employee's activities in the office.

D. fire employees found spreading false stories.

E. block all forms of electronic communication in the office.

I hope my answer helps you

3 0

3 years ago