Activity-Based Costing Is an Example Of

question 19

Multiple Choice

Activity-based costing is an example of:

• A) Information overload
• B) Mandatory information
• C) Discretionary information
• D) Enterprise System

---

Definitions:

Administrative Costs

Administrative costs are expenses related to the general operations of a business, including salaries of office staff, utilities, and rent.

Absorption Approach

A costing method in which all of the manufacturing costs, including both fixed and variable manufacturing costs, are absorbed into the cost of a unit of product.

Joint Products

Two or more products that are generated from a common input or production process.

Common Input

A shared resource or factor used in the production process of two or more goods or services.