Which of the Following Is the Proper Sequence of Events

question 92

Multiple Choice

Which of the following is the proper sequence of events in an activity-based costing system?

• A)Identification of cost drivers,identification of cost pools,calculation of pool rates,assignment of cost to products.
• B)Identification of cost pools,identification of cost drivers,calculation of pool rates,assignment of cost to products.
• C)Assignment of cost to products,identification of cost pools,identification of cost drivers,calculation of pool rates.
• D)Calculation of pool rates,identification of cost drivers,identification of cost pools,assignment of cost to products.
• E)Some other sequence of the four activities listed abovE.

---

Definitions:

Tourist Industry

A sector of the economy comprised of businesses and services dedicated to catering to the needs and preferences of travelers.

Optimal Extraction Level

The most efficient rate of resource extraction that balances immediate benefits with long-term sustainability.

Present Value

The current worth of a future sum of money or stream of cash flows given a specified rate of return.

Extraction Costs

The expenses associated with the process of removing raw materials from the earth for use in production or consumption.