Which of the Following Best Describes the Term Used to Assign

question 152

Multiple Choice

Which of the following best describes the term used to assign indirect costs to a cost object?

• A) Cost tracing
• B) Cost allocation
• C) Cost assignment
• D) Cost accumulation

---

Definitions:

Manufacturing

The process of converting raw materials or components into finished goods through the use of tools, human labor, machinery, and chemical processing.

Service Products

Intangible goods provided to consumers, such as healthcare, education, and financial advising, which cannot be physically possessed.

External Product Development

The process where a company outsources product development activities to external partners.

Development Strategies

Comprehensive plans or methodologies aimed at achieving long-term goals, such as economic growth, product innovation, or market expansion.