It may be difficult to trace cost to products and services if the costs are:
A) affected by activities not related to volume and by multiple cost drivers
B) volume- driven
C) affected by multiple cost drivers
D) affected by activities not related to volume

Question

Quizplus · Accepted Answer

When costs are affected by activities not related to volume and by multiple cost drivers, it becomes complex to trace them directly to products and services, as they do not vary directly with production volume.

It May Be Difficult to Trace Cost to Products and Services