How many separate cost pools should be formed given the following information? $\begin{array}{ll} \text { Cost}& \text { Cost driver}\
\text { Postage costs } & \text { \# of brochures mailed } \
\text { Printing and paper costs } & \text { \# of brochures mailed } \
\text { Quality control costs } & \text { \# of inspections } \
\text { Customer service costs } & \text { \# of customers served }
\end{array}$
A) 1 cost pool
B) 2 cost pools
C) 3 cost pools
D) 4 cost pools

Question

Quizplus · Accepted Answer

There are three distinct cost drivers: # of brochures mailed, # of inspections, and # of customers served, which suggests three separate cost pools.

How Many Separate Cost Pools Should Be Formed Given the Following