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Commerce · Q444

Costing

Graduate and Post Graduate · Commerce · question 444

Q444

In adjustment issues of costing, database must contain reliable measure of

A.
fixed cost driver
B.
cost driver and cost
Answer
C.
cost driver and object
D.
mixed cost driver

Answer: Option B

Solution

Answer: Option B
Solution:
In adjustment issues of costing, database must contain reliable measure of cost driver and cost. A cost driver is the unit of an activity that causes the change in activity's cost.