Question 10 Which of the following is true about settings where activity-based costing is likely to yield benefits?

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Question 10

Which of the following is true about settings where activity-based costing is likely to yield benefits?

a. Individuals in production control turn to an outside consultant for information system development.

b. Product prices – computed as “cost-plus-40%” are in line with competitors’ pricing.

c. An organization does not face competition for its products.

d. An organization has few similar products that use about the same resources.

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