What Is the Last Step in Developing an Activity-Based Costing

question 73

Multiple Choice

What is the last step in developing an activity-based costing system?

• A) Estimate the total quantity of the cost driver.
• B) Estimate the total indirect costs of each activity.
• C) Identify the activities.
• D) Allocate costs to the cost object.

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Definitions:

Transaction Speed

The rate at which transactions are processed, highly relevant in financial systems and computer networks for efficiency and user satisfaction.

K-baud

A unit of transmission speed equal to one thousand bits per second, often used in telecommunications.

OEMs

OEMs stands for Original Equipment Manufacturers, which are companies that produce parts and equipment that may be marketed by another manufacturer.

High Bus Wiring

Electrical wiring systems in vehicles or electronic systems that operate at higher voltages for efficient signal transmission.