All of the following are non-unit-based activity drivers EXCEPT
A) number of setups.
B) number of direct labor hours.
C) number of inspections.
D) number of material moves.

Question

Quizplus · Accepted Answer

The other three options are non-unit-based activity drivers because they do not depend on the level of output or production volume. The number of setups, inspections, and material moves can vary regardless of how many units are produced, making them suitable activity drivers for calculating indirect costs. However, direct labor hours are a unit-based driver because the more units produced, the more direct labor hours are required, and vice versa.

All of the Following Are Non-Unit-Based Activity Drivers EXCEPT