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Which of the following statements is false? Select one: a. Traditional costing systems tend to create...

Which of the following statements is false?
Select one:
a. Traditional costing systems tend to create a product cost distortion problem.
b. Traditional product costing systems recognise a range of non-volume-based cost drivers.
c. Traditional costing systems tend to over cost high-volume product lines.
d. In traditional costing, the high-volume products are often subsidising the low-volume products.
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Answer #1

Option 'B" is correct.

Traditional Product costing systems recognize a range of non-volume based cost drivers. Traditional costing is the allocation of factory overhead to products based on volume of production resources consumed.

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