Examlex
Match the following descriptions with the correct term:
-Macrosystem
Machine Hours
A measure of the amount of time a machine is used in the production process, often used as a basis for allocating overhead costs.
Allocation Base
A measure or criteria used to distribute costs or resources among different departments, products, or activities in a systematic manner.
Activity-Based Costing
Activity-based costing (ABC) is an accounting method that assigns overhead and indirect costs to specific activities, providing more accurate measures of the costs of producing specific products or services.
Activity Drivers
Factors that influence the costs and efficiency of business operations, serving as the basis for allocating expenses in activity-based costing.
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