Activity drivers should be classified as either unit-level or nonunit-level.

Name: Activity drivers should be classified as either unit-level or nonunit-level.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

Activity drivers can be classified as either unit-level or nonunit-level, based on whether they vary with the number of units produced or with the level of production activity. This classification is important in determining the cost behavior of activities and in allocating costs to products or services.

Activity Drivers Should Be Classified as Either Unit-Level or Nonunit-Level