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Red Raider Company uses a plantwide overhead rate with machine hours as the allocation base.
Next year, 480,000 units are expected to be produced requiring 2.0 machine hours each.
How much overhead will be assigned to each unit produced given the following estimated amounts?
 
Estimated:                                           Department 1                             Department 2
Manufacturing overhead costs                   $ 3,000,000                $       3,532,000          
Direct labor hours                                           176,000  DLH                  118,000 DLH
Machine hours                                                 34,000 MH                       12,000 MH
 
Multiple Choice
 
None of the choices
$284.00 per unit
$22.22 per unit
$142.00 per unit
$26.28 per unit
 
3000000 + 3532000 ÷ 176000 + 118000
   
K Company estimates that overhead costs for the next year will be $3,600,000 for indirect labor and $880,000 for factory utilities.
The company uses direct labor hours as its overhead allocation base. If 125,000 direct labor hours are planned for this next year,
what is the company's plantwide overhead rate?
 
$0.14 per direct labor hour.
$35.84 per direct labor hour
$0.03 per direct labor hour.
$7.04 per direct labor hour.
$28.80 per direct labor hour.
 
3,600,000 + 880,000 ÷ 125,000
   
The following data relates to Spurrier Company's estimated amounts for next year.
 
Estimated:                                                           Department 1                    Department 2
Manufacturing overhead costs                   $        1,180,000                          3,380,000            
Direct labor hours                                                   544,000             DLH       794,000  DLH
Machine hours                                                         94,000 MH                        28,000  MH
 
What is the company's plantwide overhead rate if direct labor hours are the allocation base?
(Round your answer to two decimal places.)
 
$2.17 per direct labor hour
$3.41 per direct labor hour
$0.32 per direct labor hour.
$3.53 per direct labor hour.
$0.52 per direct labor hour.
 
$1,180,000 + 3,380,000 ÷ 544,000 + 794,000
   
Red Raider Company uses a plantwide overhead rate with machine hours as the allocation base.
Next year, 540,000 units are expected to be produced requiring 2.6 machine hours each.
How much overhead will be assigned to each unit produced given the following estimated amounts?
 
Estimated:                                                      Department 1                 Department 2
Manufacturing overhead costs                   $   3,230,000                    $ 3,790,000         
Direct labor hours                                             182,000 DLH                  124,000 DLH
Machine hours                                                   37,000 MH                     15,000 MH
 
 
$63.00 per unit
$10.31 per unit
$6.86 per unit
None of the choices
$14.83 per unit
 
2,536,000 + 909,000 ÷ 171,000 + 113,000 ·.85
   
A company has two products: A1 and B2. It uses activity-based costing and has
prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools:
 
                                                Budgeted Activity
                                Activity Cost
 Pool       Budgeted
                                                              Cost               Product A1             Product B2
Activity 1             $                             59,000                 2,300                     5,900     
Activity 2             $                             74,000                 3,340                      5,860     
Activity 3             $                             102,000               8,300                      1,900     
 
Annual production and sales level of Product A1 is 9,580 units, and the annual production and sales level of Product B2 is 23,410 units.
What is the approximate overhead cost per unit of Product B2 under activity-based costing?
 
$7.20
$10.00
$4.64
$13.20
$8.04
 
(59,000 x 5,900) ÷ (2,300+5,900) = 42451.21951
(74,000 x 5,860) ÷ (3,340 + 5,860) = 47134.78261
(102,000 x 1,900) ÷ (8,300 + 1,900) ÷ 23,410
   
Bond Company uses a plantwide overhead rate with direct labor hours as the allocation base.
Use the following information to solve for the amount of direct labor hours estimated per unit of product G2.
 
Direct material cost per unit of G2                            $9            
Total estimated manufacturing overhead                               304,000                
Total cost per unit of G2                                                24            
Total estimated direct labor hours                                             152,000
Direct labor cost per unit of G2                                   4.45        
 
5.28 DLH per unit of G2
2.00 DLH per unit of G2.
8.90 DLH per unit of G2.
0.61 DLH per unit of G2.
13.45 DLH per unit of G2.
 
24 = 4.45x + 9x = 24 = 13.45x = 10.55
304000 ÷ 152000 = 2
10.55 ÷ 2 = 5.28
   
Gray Company uses a plantwide overhead rate with machine hours as the allocation base.
Use the following information to solve for the amount of machine hours estimated per unit of product Q.
                                                 
Direct material cost per unit of Q                          $ 28         
Total estimated manufacturing overhead               158,200                
Total cost per unit of Q                                              112         
Total estimated machine hours                                226,000               MH
Direct labor cost per unit of Q                                   56            
 
Multiple Choice
 
40 MH per unit of Q.
42.70 MH per unit of Q.
0.61 MH per unit of Q.
86 MH per unit of Q.
0.70 MH per unit of Q.
 
Direct material cost per unit of Q                               $29         
Total estimated manufacturing overhead               $114,000              
Total cost per unit of Q                                                116         
Total estimated machine hours                                   228,000
Direct labor cost per unit of Q                                     58          
 
112 = 56 - 28 + x
112 - 56 - 28 = x
x = 28
158200 ÷ 226000 = .7
28 ÷ .7 = 40
   
A company uses activity-based costing to determine the costs of its three products: A, B, and C.
The budgeted cost and activity for each of the company's three activity cost pools are shown in the following table:
 
 Budgeted Activity            Activity Cost Pool            
 
                                                Budgeted Cost              Product A                        Product B                        Product C
Activity 1             $                     87,000                            7,700                               10,700                            21,700  
Activity 2             $                     62,000                            8,700                               16,700                            9,700     
Activity 3             $                     116,000                          4,200                                2,700                             3,325     
 
 
Which of the following statements is true regarding this company's activity rates?
 
Multiple Choice
 
The activity rate under the activity-based costing system for Activity 2 is $2.17.
The activity rate under the activity-based costing system for Activity 2 is $1.77.
The activity rate under the activity-based costing system for Activity 2 is $3.50.
The activity rate under the activity-based costing system for Activity 2 is $15.28.
The activity rate under the activity-based costing system for Activity 2 is $11.34
 
62,000 ÷ 8,700 + 16,700 + 9,700 = 1.766381766
1.77
   
The following data relates to Patterson Company's estimated amounts for next year.
 
Estimated:                                                       Department 1                    Department 2
Manufacturing overhead costs                   $    57,000                                $72,000               
Direct labor hours                                            184,000  DLH                      204,000 DLH
Machine hours                                                   204,000  MH                       404,000 MH
 
What is the company's plantwide overhead rate if direct labor hours are the allocation base?
(Round your answer to two decimal places.)
 
$0.29 per DLH
$3.05 per DLH
$0.33 per DLH
$5.03 per DLH
$0.26 per DLH
 
57,000 + 72,000 ÷ 184,000 + 204,000
============================
A company has two products:
A and B. It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools:
 
Budgeted Activity
Activity Cost
Pool       Budgeted
                                              Cost                                Product A              Product B
Activity 1                             $98,000                                4,100                   3,900     
Activity 2                             $73,000                                5,600                   6,600     
Activity 3                             $115,000                              3,600                   6,350     
 
 
Annual production and sales level of Product A is 35,400 units, and the annual production and sales level of Product B is 70,650 units.
What is the approximate overhead cost per unit of Product B under activity-based costing?
 
$10.27
$12.25
$1.73
$3.54
$2.27
 
98,000 ÷ 4,100 + 3,900 · 4100 = (12.25) · 4100 = 50225 + 73,000 ÷ 5,600 + 6,600 x 5600 = 5.983606557 =
33508.19672 + 115,000 ÷ 3,600 + 6,350 · 3600 = 11.557788894 = 41608.04002 ÷ 35400 = 3.54
   
A company uses activity-based costing to determine the costs of its three products: A, B, and C.
The budgeted cost and activity for each of the company's three activity cost pools are shown in the following table:
                                                Budgeted Activity
Activity Cost Pool              Budgeted Cost                   Product A            Product B             Product C
Activity 1                             $73,000                               6,300                    9,300                    20,300  
Activity 2                             $48,000                               7,300                    15,300                 8,300     
Activity 3                             $88,000                               2,800                    1,300                    1,925     
 
How much overhead will be assigned to Product B using activity-based costing?
 
$73,000.00
$209,000.00
$82,287.94
$61,665.41
$64,663.26
 
$73,000 ÷ 6,300 + 9,300 + 20,300 = 2.033426184
9,300 · 2.033426184 = 18910.86351 + 48,000 ÷ 7,300 + 15,300 + 8,300 = 1.553398058
15,300 · 1.553398058 = 23766.99029 + 88,000 ÷ 2,800 + 1,300 + 1,925 = 14.60580913
1300 · 14.60580913 = 18987.55187 + 61665.40567 = 61,665.41
   
Kamper Company sells two products Big Z and Little Z. Current direct material and direct labor costs are detailed below.
Next year, the company wishes to use a plantwide overhead rate with direct labor hours as its allocation base.
Next year's overhead is estimated to be $476,000. The direct labor and direct materials costs are estimated to be consistent
with the current year. Direct labor costs $25 per hour and the company expects to manufacture 33,000 units of Big Z and
10,000 units of Little Z next year.
 
                                Direct Material per Unit                 Direct Labor Dollars per Unit
Big Z                                      $7                                                           $18         
Little Z                                   $13                                                          $9            
 
What are total estimated direct labor hours for this next year?
 
Multiple Choice
 
684,000 total DLH.
27,360 total DLH.
1,161,000 total DLH.
1,164,769 total DLH.
480,769 total DLH
 
18 ÷ 25 x 33000 + 9 ÷ 25 x 10000 = 27,360
   
Gold Company uses a plantwide overhead rate with machine hours as the allocation base.
Use the following information to solve for the amount of machine hours estimated per unit of product RST.
                                                 
Direct material cost per unit of RST                           $20         
Total estimated manufacturing overhead               $495,000              
Total cost per unit of RST                                           $95         
Total estimated machine hours                                  165,000 MH
Direct labor cost per unit of RST                                 $38         
 
3.00 MH per unit of RST
12.33 MH per unit of RST.
58.00 MH per unit of RST.
15.83 MH per unit of RST.
56.67 MH per unit of RST.
 
165,000 ÷ 495,000 · 95 - 20 - 38 = 12.333333 (12.33)
   
A company has two products: A and B.
It uses activity-based costing and has prepared the following analysis showing budgeted cost and activity for each of its three activity cost pools:
 
                                                  Budgeted Activity
Activity Cost Pool                             Budgeted Cost                    Product A           Product B
Activity 1                                             $100,000                               4,300                 4,100     
Activity 2                                              $75,000                                 5,800                6,800    
Activity 3                                              $119,000                              3,800                 6,550     
 
Annual production and sales level of Product A is 35,600 units, and the annual production and sales level of Product B is 70,850 units.
What is the approximate overhead cost per unit of Product A under activity-based costing?
 
$11.90
$1.64
$2.32
$10.27
$3.63
 
100000 ÷ 4300 + 4100 x 4300 = 51190.47619
75,000 ÷ 5,800 + 6,800 x 5800 = 34523.80952
119,000 ÷ 3,800 + 6,550 · 3800 = 43690.82126 ÷ 35,600
   
The following data relates to Black-Out Company's estimated amounts for next year.
 
Estimated:                                                           Department 1                    Department 2
Manufacturing overhead costs                                   $320,000                      $432,000              
Direct labor hours                                                          61,000 DLH                 81,000 DLH
Machine hours                                                               1,100   MH                    2,100    MH
 
What is the company's plantwide overhead rate if machine hours are the allocation base?
(Round your answer to two decimal places.)
 
$235.00 per MH
$152.38 per MH
$4.68 per MH
$5.25 per MH
$101.82 per Mh
 
320,000 + 432,000 ÷ 1100 + 2100
--------------------------
A company has two products:
A1 and B2. It uses activity-based costing and has prepared the following analysis
showing budgeted cost and activity for each of its three activity cost pools:
 
                                                   Budgeted Activity
Activity Cost Pool             Budgeted Cost                   Product A1                          Product B2
Activity 1             $             52,000                                 1,600                                    5,200     
Activity 2             $             67,000                                 2,640                                    5,160     
Activity 3             $             88,000                                 7,600                                    1,200     
 
Annual production and sales level of Product A1 is 8,880 units, and the annual production and sales level of Product B2 is 22,710 units.
What is the approximate overhead cost per unit of Product A1 under activity-based costing?
 
$10.00
$7.65
$12.49
$8.59
$4.23
 
52000 ÷ 1600 + 5200 · 5200 + 67000 ÷ 2640 + 5160 · 5160 + 88000 ÷ 7600 + 1200 · 1200 ÷ 22710
   
Western Company allocates $10.00 overhead to products based on the number of machine hours used.
The company uses a plantwide overhead rate with machine hours as the allocation base.
Given the amounts below, how many machine hours does the company expect in department 2?
 
                Estimated:                           Department 1                    Department 2
Manufacturing overhead costs                $257,000                            $157,000            
Direct labor hours                                     8,700    DLH                         19,000
Machine hours                                          15,700                                    ?          
 
25,700 MH
34,400 MH
91,500 MH
85,370 MH
142,470 MH
 
257000 + 157000 ÷ 10 - 15700
--------------------------
Crinkle Cut Clothes Company manufactures two products CC1 and CC2. Current direct material and direct labor costs
are detailed below. Next year the company wishes to use a plantwide overhead rate with direct labor hours as its allocation base.
Next year's overhead is estimated to be $617,760. The direct labor and direct materials costs are estimated to be consistent with the current year.
 
Direct labor costs $20 per hour and the company expects to manufacture 33,000 units of CC1 and 102,000 units of CC2 next year.
 
Direct
                                Material per Unit              Direct Labor Dollars per Unit
CC1        $                    38.20                                 $    18.00  
CC2        $                    26.30                                 $    16.20  
 
Compute the plantwide overhead rate for next year.
 
$34.20 per DLH.
$20.00 per DLH.
$0.83 per DLH.
$1.91 per DLH.
$5.50 per DLH
 
18 ÷ 20 x 33000 + 16.20 ÷ 20 x 102000 = 112320
617760 ÷ 112320 = 5.50
   
Peterson Company estimates that overhead costs for the next year will be $6,820,000 for indirect labor and $820,000 for factory utilities.
The company uses machine hours as its overhead allocation base. If 120,000 machine hours are planned for this next year, what is the
company's plantwide overhead rate?
(Round your answer to two decimal places.)
 
$56.36 per machine hour.
$0.15 per machine hour.
$63.67 per machine hour
$0.02 per machine hour.
$6.83 per machine hour.
 
6820000 + 820000 for ÷ 120000
   
A company estimates that overhead costs for the next year will be $8,380,000 for indirect labor and $158,500 for factory utilities.
The company uses machine hours as its overhead allocation base. If 430,000 machine hours are planned for this next year,
what is the company's plantwide overhead rate?
(Round your answer to two decimal places.)
 
$0.05 per machine hour.
$19.49 per machine hour.
$19.86 per machine hour
$0.37 per machine hour.
$2.71 per machine hour.
 
8380,000 + 158500 ÷ 430000
  Jared Beverage Corporation uses a process costing system to collect costs related to the production of its celery flavored cola. The cola is first processed in a Mixing Department and is then transferred out and finished up in the Bottling Department. The finished cases of cola are then transferred to Finished Goods Inventory. The following information relates to the company's two departments for the month of Jan.: Cases of cola in work in process, Jan 1 Cases of cola completed/transferred out during Jan Cases of cola in work in process, January 31
 
How many cases of cola were completed and transferred to Finished Goods Inventory during January?
 
A) 70,000
B) 63,000
C) 58,000
D) 77,000
 
5,000 + 65,000 - 7,000 = 63,000
   
Huffington Company uses a plantwide overhead rate to apply overhead. The predetermined overhead rate is based on machine hours.
At the beginning of the year, the company made the following estimates: direct labor hours of 16,000, direct labor cost of $200,000,
machine hours of 5,000, and total overhead costs of $25,000. On a per machine hour basis, the company’s plantwide overhead rate is:
 
$5
   
Benson, Inc., manufactures a single product. The company’s plantwide overhead rate is $25 per machine-hour (MH).
Each unit of product requires 0.6 machine hours. The direct material cost per unit of product is estimated at $10.96 and
direct labor cost is estimated at $3.84 per unit. The overhead cost per unit is expected to be:
 
$15.00.
   
Benson, Inc., manufactures a single product. The company’s plantwide overhead rate is $25 per machine-hour (MH).
Each unit of product requires 0.6 machine hours. The direct material cost per unit of product is estimated at $10.96 and
direct labor cost is estimated at $3.84 per unit. The total unit cost of its product is estimated to be:
 
$29.80.
   
ABC assumes all costs are ________ because over the long run the company can adjust the amount of assets utilized.
 
Variable.
   
Put the following ABC implementation steps in order ________.
 
1.       Use the activity overhead rates to assign overhead costs to cost objects..
2.       Compute the allocation rates..
3.       Trace overhead costs to cost pools..
4.       Identify the activities and the overhead costs they cause..
   
Which types of overhead allocation methods result in the use of more than one overhead rate during the same time period?
 
Departmental overhead rate method and activity-based costing..
   
What are three advantages of activity-based costing over traditional volume-based allocation methods?
 
More accurate product costing, more effective cost control, and better focus on the relevant factors for decision making..
   
Which of the following is a disadvantage of the departmental overhead rate method?
 
The departmental overhead rate method assigns overhead on the basis of volume-related measures.
   
ABC costing might lead to:
 
increasing the sales price of low-volume products..
   
The cost object(s) of the activity-based costing method is(are):
 
The production activities in the first stage and the unit of product in the second stage..
   
What are the main advantages of volume-based allocation methods compared to activity-based costing?
 
Volume-based methods are easier to use and less costly to implement and maintain..
   
Peterson Company estimates that overhead costs for the next year will be $6,520,000 for indirect labor and $550,000 for factory utilities.
The company uses machine hours as its overhead allocation base.
If 140,000 machine hours are planned for this next year, what is the company’s plantwide overhead rate?
(Round your answer to two decimal places.)
 
$50.50 per machine hour..
   
Which of the following statements is true with regard to the departmental overhead rate method?
 
It is logical to use this method when overhead resources are consumed by various products in
substantially different ways throughout multiple departments.
 

Health Beverage Company uses a process costing system to collect costs related to the production of its celery flavored cola.
The cola is first processed in a Mixing Department at Health and is then transferred out and finished up in the Bottling Department.
The finished cases of cola are then transferred to Finished Goods Inventory.
The following information relates to Health's two departments for the month of January:
 
Cases of cola in WIP, January 1:                                                                 Mixing = 10,000; Bottling = 3,000
Cases of cola completed/transferred out during January:                  Mixing = 77,000; Bottling = ?
Cases of cola in WIP, January 31:                                                              Mixing = 4,000; Bottling = 8,000

72,000


 
3,000 + 77,000 - 8,000 = 72,000
   
The Assembly Department started the month with 24,000 units in its beginning work in process inventory.
An additional 309,000 units were transferred in from the prior department during the month to begin processing in the Assembly Department.
There were 29,000 units in the ending work in process inventory of the Assembly Department.
How many units were transferred to the next processing department during the month?
 
304,000
 
24,000 + 309,000 − 29,000 = 304,000
   
Bims Corporation uses the weighted-average method in its process costing system.
The Assembly Department started the month with 2,000 units in its beginning work in process inventory that were 70% complete with
respect to conversion costs. An additional 61,000 units were transferred in from the prior department during the month to begin processing in the Assembly Department.
There were 18,000 units in the ending work in process inventory of the Assembly Department that were 60% complete with
respect to conversion costs. What were the equivalent units for conversion costs in the Assembly Department for the month?
 
55,800
 
2,000 + 61,000 − 18,000 = 45,000
18,000 units × .6 = 10,800
10,800 + 55,800 = 55,800
   
Nabais Corporation uses the weighted-average method in its process costing system. Operating data for the Lubricating Department for the month of October appear below:
 

	Units				Percent Complete with Respect to Conversion
Beginning work in process inventory		3,300				80	%
Transferred in from the prior department during October		30,700
Completed and transferred to the next department during October		32,200
Ending work in process inventory		1,800				60	%

 
What were the equivalent units for conversion costs in the Lubricating Department for October?
 
33,280
 
32,200 x 100 % + 1,800 x .6 = 33,280
  The accumulation of the costs of materials and labor is the same in process costing as in job order costing.
 
True
   
Equivalent units are the actual units to be accounted for during a period irrespective of any work performed.
 
False
   
Units started into production plus units in process at the beginning of the period is referred to as the total units available.
 
False
   
Unit production costs are costs expressed in terms of equivalent units of production.
 
True
   
Companies often use a combination of a process cost and a job order cost system, called operations costing.
 
True
   
In process cost accounting, the first step in preparing a production cost report is to
 
Compute the physical unit flow.
   
The total units to be accounted for is computed by adding
 
Beginning units in process to units started into production.
   
Equivalent units are computed for
 
Materials and conversion costs.
   
In determining the units completed and transferred out, the units in ending work in process are
 
Deducted from total units to be accounted for.
   
When equivalent units of production are different for materials and conversion costs, unit costs are computed for
 
 A.           Materials.
 B.           Conversion cost.
 C.           Total manufacturing cost.
 D.           All of these options.
   
The total costs accounted for in a production cost report equal the
 
Cost of units completed and transferred out plus the cost of ending work in process.
   
The final step in preparing a production cost report is to
 
Prepare a cost reconciliation schedule.
   
The production cost report has all of the following sections except
 
 A.           Number of physical units.
 B.           Cost reconciliation schedule.
 C.           Unit costs.
 D.           All of these options are sections.
   
A process cost system would be used by all of the following except a(n)
 
Advertising company.
   
The cost reconciliation schedule shows that the total
 
Costs accounted for equal the total costs to be accounted for.
   
The basic similarities between job order cost and process cost systems include all of the following except the
 
Point at which costs are totaled.
   
In computing equivalent units, ___________ is not part of the equivalent units of production formula.
 
Beginning work in process.
   
In a cost reconciliation schedule, costs accounted for is computed by adding the costs in the
 
Ending work in process and the units transferred out.
   
A primary driver of overhead costs in continuous manufacturing operations is
 
Machine hours.
   
In a process cost system
 
The unit cost is total manufacturing costs for the period divided by the units produced during the period.
   
The most difficult part of computing accurate unit costs is determining the proper amount of direct material cost to assign to each product.
 
False
   
Activity-based costing systems rely on multiple bases for overhead cost allocation.
 
True
   
Traditional costing systems group costs according to activity-cost pools.
 
False
   
A cost driver is a factor or activity that has a direct cause-effect relationship with the resources consumed.
 
True
  The simple rationale behind activity-based costing is that resources consume activities and activities consume products.
 
False
   
Direct labors hours is not as useful as an activity base for allocating overhead because
 
technological change has caused direct labor to be a smaller percentage of overall cost and as a result,
   
Which of the following would be the best cost driver for the activity of purchasing?
 
The number of purchase orders issued.
   
As the complexity of the manufacturing process increases, the number of activities and cost drivers used in
an activity-based cost system will
 
increase.
   
Which of the following is NOT one of the four steps involved in calculating unit costs under activity-based costing?
 
Identify the cost driver that has a weak correlation to the costs accumulated in the activity cost pool.
   
Which of the following should NOT be included as part of the activity cost pool of machine setups?
 
Cost of accounts payable supervisor's salary.
   
In order to achieve the most accurate costing, the cost driver chosen for a given activity must show a ___________.
 
high degree of correlation.
   
The activity-based overhead rate is computed by dividing
 
Estimated overhead per activity by expected use of cost driver per activity.
   
To assign overhead costs to an individual product, the activity-based overhead rate is multiplied by
 
the number of cost drivers expected to be used per product.
   
If a traditional costing system allocates too much overhead to one product, the firm is likely to experience which of the following problems?
 
The firm may lose market share to competitors.
   
Which of the following is NOT a reason for the more accurate product costing that results from using activity-based costing?
 
Employee turnover will decrease as a result of using activity-based costing.
   
Which of the following is a limitation of activity-based costing?
 
Activity-based costing can be expensive use.
   
Which of the following is NOT one of the factors that suggest that a firm should switch to an activity-based costing system.
 
 A.           The manufacturing process or the number of products has changed significantly.
 B.           Overhead costs constitute a significant portion of total costs.
 C.           Product line differ greatly in volume and manufacturing complexity.
 D.           All of the above are factors that suggest a firm should switch to an activity-based costing
   
Which of the following is NOT considered to be a valued-added activity of a professional service firm?
 
Payroll preparation in a consulting engineering firm.
   
Which of the following are important elements in successfully operating a just-in-time approach to production?
 
 A.           A multiskilled workforce.
 B.           A total quality control system.
 C.           Dependable suppliers.
 D.           All of the above.
   
Which of the following is NOT one of the hierarchy levels of activity-based costing activities?
 
Macro-level activities

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