- 1.Activity based costing is considered to be a traditional costing method.True False
- 2.Under ABC, indirect manufacturing costs are predominantly assigned on the basis of direct machine hours.True False
- 3.Which of the following would not be included in a product’s cost for inventory valuation for the financial statements?Factory Supplies Quality Control Interest Expense
- 4.Which would be the least favorable basis for allocating manufacturing overhead for a factory with automated equipment and a significant variation of services by its indirect labor?ABC Direct Labor Hours Machine Hours
