ABC Systems Use the Concept of a ________ to Identify

question 4

Multiple Choice

ABC systems use the concept of a ________ to identify the cost drivers that best demonstrate the cause-and-effect relationship between each activity and the costs in the related cost pool.

• A)cost hierarchy
• B)cost pool
• C)cost allocation
• D)cost driver

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Definitions:

Status Option

A feature in software or applications that allows users to select or display their current state or progress.

Purple Bar

A graphical element or user interface feature that is distinguished by a purple color, specifics depend on the application.

Seven-day Week

A time measurement system used worldwide, consisting of seven consecutive days.

Display

The visual output device of a computer or other electronic device, used for showing text, graphics, or video content.