The Greatest Use of Activity-Based Costing Information for Managers Is

question 137

Multiple Choice

The greatest use of activity-based costing information for managers is for

• A)product costing.
• B)pricing decisions.
• C)channel profitability decisions.
• D)process improvement.

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Definitions:

Physical Distribution

All the activities necessary to move products from producers to customers—inventory control, transportation, warehousing, and materials handling.

Transportation

The shipment of products to buyers.

Warehousing

The design and operation of facilities to receive, store, and ship products.

Promotion Mix

The blend of different marketing methods used by a business, such as advertising, sales promotion, public relations, and direct marketing.