Which of the Following Are True Regarding Activity-Based Management (ABM)

question 15

Multiple Choice

Which of the following are true regarding activity-based management (ABM) ?

• A)ABM deals with how management uses the cost information generated from activity-based costing.
• B)ABM rests on the premise that products require activities.
• C)ABM rests on the premise that activities consume resources.
• D)All of the answers are correct.

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Definitions:

Customer Satisfaction

The measure of how products or services supplied by a company meet or surpass customer expectation.

Customer Retention

The ability of a company to keep its customers over a period of time, reducing customer defections.

High-pressure Sales Tactics

Aggressive selling strategies that push the customer to make a quick decision, often making them feel uncomfortable or pressured.

Professional Buyers

Individuals or organizations specialized in purchasing goods or services for their company, focusing on obtaining the best terms and quality.