MULTIPLE CHOICE - Choose the one alternative that best completes the statement or answers the question. (Chapter 2 - 20Q) 1) Which of the following statements are true? 1. A cost driver is a factor, such as machine-hours, beds occupied, computer time, or flight-hours, that causes direct costs. 2. Job-order costing systems often use allocation bases that do not reflect how jobs actually use overhead resources. 3. An employee time ticket is an hour-by-hour summary of the employee's activities throughout the day. A) Only statement I is true. B) Statements I and II are true. C) Statements II and III are true. D) All of the statements are true. 2) Which of the following statements are true? 1. The formula for computing the predetermined overhead rate is: Predetermined overhead rate = Estimated total amount of the allocation base Estimated total manufacturing overhead cost 2. Generally speaking, when going through the process of computing a predetermined overhead rat the estimated total manufacturing overhead cost is determined before estimating the amount of allocation base. A) Only statement I is true. B) Only statement II is true. C) Both of the statements are true. D) Neither of the statements are true