A cost-driver base should be based on the resource's practical capacity to support activities.

Name: A cost-driver base should be based on the resource's practical capacity to support activities.
Brand: Quizplus
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Question

Quizplus · Accepted Answer

A cost-driver base should indeed be based on the resource's practical capacity, as it reflects the amount of activity or work a resource can support in its current state, ensuring that costing is based on realistic and achievable levels of activity.

A Cost-Driver Base Should Be Based on the Resource's Practical