It may be difficult to trace cost to products and services if the costs are ?____.
A)volume-driven
B)affected by activities not related to volume
C)affected by multiple cost drivers
D)affected by activities not related to volume and by multiple cost drivers

Question

Quizplus · Accepted Answer

If the costs are affected by activities not related to volume and by multiple cost drivers, it would be difficult to trace cost to products and services as it would require identifying and allocating costs accurately to each cost driver.

It May Be Difficult to Trace Cost to Products and Services