What technique improves performance of activities and processes by predicting activity costs as activity output changes?
A)value-added reporting
B)activity flexible budgeting
C)kaizen costing
D)benchmarking

Question

Quizplus · Accepted Answer

Activity flexible budgeting is a technique that improves performance by predicting activity costs as activity output changes. It enables managers to adjust their budgets according to changes in the activity level and focus on achieving cost efficiency by making appropriate decisions. A and D are related to performance measurement and improvement, but not specifically to predicting costs as output changes. Kaizen costing is a cost reduction technique that focuses on continuous improvement and is not directly related to predicting costs as activity output changes.

What Technique Improves Performance of Activities and Processes by Predicting