Which of the following statements accurately describes the basis of activity-based costing?
A) Activities simply sustain a facility's general manufacturing process.
B) Activities refer to batch-level costs incurred to support the production of each different type of product.
C) Activities consume facility-level costs.
D) Activities consume resources and products consume activities.
D
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Physical characteristics of the land include all but which of the following:
a. heterogeneity b. indestructibility c. immobility d. fixity
A mortgage that was executed two years ago provided for a prepayment penalty. The mortgagee is most likely to waive this penalty when:
A: The supply of money exceeds the demand; B: Deflation is the trend and low interest rates are common; C: A new loan can be made on the property at a higher rate; D: Building costs are rising substantially.