The activity driver for the shipping activity is the number of orders shipped. Product X uses 40 orders, and Product Y uses 120 orders. What is the consumption ratio for product X?
A) 0.215
B) 0.250
C) 0.300
D) 0.625

Question

Quizplus · Accepted Answer

The consumption ratio for product X is calculated by dividing the number of orders for product X by the total number of orders. So, 40 orders for product X divided by (40 orders for product X + 120 orders for product Y) equals 40/160 = 0.250.

The Activity Driver for the Shipping Activity Is the Number