The Successful Implementation of an Activity-Based Costing System Depends on Employees

question 46

True/False

The successful implementation of an activity-based costing system depends on employees' attitudes and cooperation.

---

Definitions:

Variable Cost

Charges that adjust in relation to the amount of goods produced or level of enterprise activity.

Output Volume

The quantity of goods or services produced by a company, industry, or economic sector during a specified period.

Total Cost

The complete cost of producing or purchasing goods, encompassing both fixed and variable expenses.

Centre of Gravity

A method used in logistics and supply chain management to find the optimal location of a facility based on minimizing transportation costs.