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The diagram below shows 3 vectors which sum to zero, all of equal length. Which statement below is true?
Activity Cost Pools
Aggregations of all the overhead costs associated with specific activities, used in activity-based costing.
Customer Margin
The profit generated from a particular customer, calculated by subtracting the costs associated with serving that customer from the revenue they generate.
Serving Customers
The activities involved in providing products or services to customers effectively.
Activity Cost Pools
Accumulations of costs grouped by similar or related activities, used in activity-based costing to allocate costs more accurately.
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