ABC systems ________.

Select one:

a. comply with GAAP

b. highlight the different levels of activities

c. will limit cost drivers to units of output

d. none of the given answer.

e. will allocate costs based on volume

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Which of the following statements is false?

Select one:

a. The budgeted variable selling and administrative expense is calculated by multiplying the budgeted unit sales by the variable selling and administrative expense per unit.

b. The master budget consists of a number of separate but interdependent budgets.

c. A continuous or perpetual budget is a 12-month budget that rolls forward one month (or quarter) as the current month (or quarter) is completed.

d. Control involves developing goals and preparing various budgets to achieve those goals.

e. The direct labor budget begins with the required production in units from the production budget.