In a homogeneous resource-cost pool,all of the costs have the same or a similar _________________ relationship with a single cost driver.

Question

Quizplus · Accepted Answer

In a homogeneous resource-cost pool, all the costs are related to a single cost driver in a cause-and-effect manner. This means that any change in the level of activity in the cost driver will directly impact the total cost of the pool. For example, if the cost driver is the number of units produced, then the cost of the pool will increase when more units are produced, and decrease when fewer units are produced. Therefore, choice A) cause-and-effect is the best option.

In a Homogeneous Resource-Cost Pool,all of the Costs Have the Same