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A cause-and-effect relationship. Ease of use. Its preciseness.
Question 5. Question: Effective implementation of activitybased costing( ABC)
requires: Student Answer: Normally the assistance of a consultant. A sophisticated and expensive computer system. Support of top management and key employees. Capturing properly the complexity of the data. ABC has no significant implementation issues.
Question 6. Question: Which of the following would likely be the most appropriate cost
driver of electric power used by machines? Student Answer: Number of units. Machine size. Number of machine hours. Number of production runs.

A cause-and-effect relationship. Ease of use. Its preciseness.

Question 5. Question: Effective implementation of activitybased costing( ABC)

requires: Student Answer: Normally the assistance of a consultant. A sophisticated and expensive computer system. Support of top management and key employees. Capturing properly the complexity of the data. ABC has no significant implementation issues.

Question 6. Question: Which of the following would likely be the most appropriate cost

driver of electric power used by machines? Student Answer: Number of units. Machine size. Number of machine hours. Number of production runs.