Identifying Cost Drivers in an ABC system Patterson makes electronic components for handheld games and has identified several activities as components of manufacturing overhead: factory rent, factory utilities, quality inspections, materials handling, machine setup, employee training, machine maintenance, inventory security costs, and supervisor salaries. For each activity that Patterson has identified, choose a cost driver to allocate that cost. Explain your reasoning.

Factory Rent : No of days worked

Factory Utilities: Units of utility consumed

Quality Inspection : Hours of inspection on production run

Material Handling :  No of orders received

Machine Setup : Machine hours

Employee Training : Hours worked

Machine Maintenance : Machine hours used

Inventory Security Costs : Finished goods units

Supervisor Salary : No of workers

Explanation:

A cost driver is unit of activity on which cost is allocated. Cost driver is considered as a direct cause of the cost. In ABC costing cost are allocated to the goods based on the cost drivers.

c

explanation:

being suspected of supplying drugs means you are much more likely to be charged. the amount of drugs found on you, and whether you have a criminal record, will be taken into account when a punishment is being decided.

decisions to prosecute are taken by the public prosecution service. the maximum sentences for intent to supply drugs are: