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jerico jerico
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Posts: 4603
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9 years ago
Which of the following statements is true of activity-based costing?
A) In activity-based costing, direct labor-hours is always the best allocation base to allocate all non-manufacturing indirect costs.
B) Activity based costing is more suited to companies with high product diversity than companies with single product line.
C) Activity based costing broadly averages or spreads the cost of resources uniformly to cost objects such as products or services.
D) The main advantage of activity-based costing over peanut-butter costing is the accurate distribution of all direct costs to the products.
Textbook 
Cost Accounting

Cost Accounting


Edition: 14th
Authors:
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cyborgcyborg
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Posts: 4566
9 years ago
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jerico Author
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9 years ago
Thank you for the help. I took this course as an elective, glad it's over in three weeks. Great textbook though!
wrote...
9 years ago
I'm happy to help you, how luck with the others, I noticed you've posted a lot of questions.
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