Which one of the following accounts is not used in an activity-based costing (ABC)system?
A) Materials Inventory.
B) Work-in-Process Inventory.
C) Finished Goods Inventory.
D) Allocations IncurreD.
Allocations Incurred is not an account.ABC uses the same accounts that a traditional cost has,the overhead accounts are classified by activity.

Question

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Allocations Incurred is not an account used in an activity-based costing (ABC) system. ABC uses the same accounts as traditional costing, but overhead costs are classified by activity rather than allocated based on a predetermined rate.

Which One of the Following Accounts Is Not Used in an Activity-Based