Which of the Following Is a Reason for Using Activity-Based

question 85

Multiple Choice

Which of the following is a reason for using activity-based costing to allocate service department costs?

• A)It results in identifying more accurate cost drivers.
• B)It is required by generally accepted accounting principles.
• C)It is required by the tax authorities.
• D)All of the answers are correct.

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Definitions:

Abbreviation

A shortened form of a word or phrase, used to simplify lengthy wording.

Acquired Immunodeficiency Syndrome

A disease impacting the human immune system caused by the HIV virus, leading to decreased resistance to other diseases and infections.

Meaning

The significance, definition, or purpose of something, especially in language and communication.

Hematocrit

A blood test that measures the percentage of red blood cells in a given volume of whole blood.