The Last Step in Activity-Based Costing Is to

question 22

Multiple Choice

The last step in activity-based costing is to

• A) assign overhead costs to products, using overhead rates determined for each cost pool.
• B) compute the activity-based overhead rate per cost driver.
• C) identify and classify the activities involved in the manufacture of specific products, and allocate overhead to cost pools.
• D) identify the cost driver that has a strong correlation to the activity cost pool.

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Definitions:

Social Constructionism

A theory that suggests knowledge and many aspects of the world around us are not inherently objective but constructed through social processes.

Consensual Validation

The process of seeking confirmation from others that one's own perceptions and beliefs are correct.

Group Decision Making

The process where a group of individuals come together to make a decision, often involving discussions, debates, and consensus-building among members.

Semiautonomous Teams

Groups of workers who are given the freedom to manage their own processes and tasks within a project, though under some level of supervision.