In an activity based costing system, costs are broken down and assigned to activity cost centers. For example, part of a supervisor's salary may be classified as a filling orders, customer support, and other activity. True False Ina n activity based costing system nonmanufacturing as well as manufacturing costs may be assigned to products. True False Activity based Costing attempts to better allocate direct materials, direct labor, and factory overhead to the product. True False in comparison to a traditional cost system, an activity- based costing system usually shifts costs from a product that uses more activities. True False In developing an activity-based costing system, inspecting the finished product could be considered an activity and the number of inspections would be considered a cost driver. True False If the activity-based costing system does not conform to external reporting requirements, the company will have two costing systems, one for internal and one for external reporting. True False Segment Margin and Contribution Margin mean the same. True False Under variable costing variable selling and administrative costs is consider a product costs True False The costs assigned to inventory are normally lower under variable cost than absorption costing. True False Net income is affected by units produced and sold under absorption costing. True False Common fixed costs should not be allocated to individual segments. True False