All of the following are examples of activity bases except
A) salaries of supervisors
B) quality inspections of products
C) number of machine setups
D) raw materials storage

Question

Quizplus · Accepted Answer

Salaries of supervisors are not determined by an activity level or a measure of output. They are generally fixed costs that do not vary with the level of production activity. On the other hand, quality inspections of products, number of machine setups, and raw materials storage are all activity bases as they are linked to the level of output or production activity.

All of the Following Are Examples of Activity Bases Except