Match each item with the correct statement below.
-Financial and nonfinancial information items that describe individual activities.
A)activity drivers
B)activity-based costing system
C)consumption ratio
D)unit-level activities
E)activity attributes
F)resource drivers

Question

Quizplus · Accepted Answer

Activity attributes are financial and nonfinancial information items that describe individual activities.

Answer: B
 An activity-based costing system is a method that assigns costs to products or services based on the activities that are required to produce them.

Answer: C
 Consumption ratio is the proportion of an activity's total cost that is used by a particular product or service.

Answer: D
 Unit-level activities are activities that are required for each individual product or service, such as assembling a car or packaging a product.

Answer: A
 Activity drivers are the factors that determine the cost of an activity, such as the number of units produced or the hours worked.

Answer: F
 Resource drivers are the factors that determine the cost of the resources used in an activity, such as the cost of electricity or the cost of raw materials.

Match Each Item with the Correct Statement Below