Indicate whether the following statements are true or false. (a) the reasoning behind abc cost allocation is that products consume activities and activities consume resources. (b) activity-based costing is an approach for allocating direct labor to products. (c) in today’s increasingly automated environment, direct labor is never an appropriate basis for allocating costs to products. (d) a cost driver is any factor or activity that has a direct cause-effect relationship with resources consumed. (e) activity-based costing segregates overhead into various cost pools in an effort to provide more accurate cost information.

Consider the following limit order book for a share of stock. the last trade in the stock occurred at a price of $50. limit buy orders limit sell orders price shares price shares $49.75 500 $49.80 100 49.70 900 49.85 100 49.65 700 49.90 300 49.60 400 49.95 100 48.65 600 a. if a market buy order for 100 shares comes in, at what price will it be filled? (round your answer to 2 decimal places.) b. at what price would the next market buy order be filled? (round your answer to 2 decimal places.) c. if you were a security dealer, would you want to increase or decrease your inventory of this stock? increase decrease

What is the relationship between marginal external cost, marginal social cost, and marginal private cost? a. marginal social cost equals marginal private cost plus marginal external cost. b. marginal private cost plus marginal social cost equals marginal external cost. c. marginal social cost plus marginal external cost equals marginal private cost. d. marginal external cost equals marginal private cost minus marginal social cost. marginal external cost a. is expressed in dollars, so it is not an opportunity cost b. is an opportunity cost borne by someone other than the producer c. is equal to two times the marginal private cost d. is a convenient economics concept that is not real

How does your household gain from specialization and comparative advantage? (what is produced, what is not produced yet paid to a specialist to produce? )