Question

Activity-based costing defines five levels of activity. Which of the following activity levels would property taxes...

Activity-based costing defines five levels of activity. Which of the following activity levels would property taxes fall into?

a. Unit-level.

b. Batch-level.

c. Product-level.

d. Organization-sustaining.

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Answer #1

Solution:

Option D. Organization-sustaining. is the correct answer.

Since, organisation-sustaining activities are carried out regardless of which products are produced, which customers are served, number of batches run, no. of units produced.

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