Which of the following is least likely to be classiﬁed as a batch-level activity in an activity-based costing system?
A)Shipping.
B)Receiving and inspection.
C)Production setup.
D)Property taxes.
E)Quality assurance.

Question

Quizplus · Accepted Answer

Property taxes are usually classified as a facility-level activity, as they are incurred regardless of the level of production or number of batches produced. Shipping, receiving and inspection, production setup, and quality assurance are all activities that are typically performed on a batch-by-batch basis, and therefore classified as batch-level activities in an activity-based costing system.

Which of the Following Is Least Likely to Be Classiﬁed