1. Which is not an example of a cost driver?

a.	General and administrative expenses.
b.	Machine hours.
c.	Number of inspections.
d.	Number of different customers.

2. Which of the following reflects the simplest allocation method for a factory?

a.	The department allocation method.
b.	The unit cost allocation method.
c.	The plantwide allocation method.
d.	The use of activity-based costing.

3. Significant differences between the "traditional view" of quality and the emerging "quality-based view" relate to which of the following?

a.	quality production, inspections, causes of defects, standards, purchasing, and customer focus.
b.	financial, internal business process, learning and growth, customer.
c.	total quality, smooth production flow, purchasing quality materials, well trained and flexible workforce, short customer-response times, backlog of orders.
d.	prevention costs, appraisal costs, internal failure costs, and external failure costs.