A well-designed activity-based costing system starts with
A) identifying the activity-cost pools.
B) computing the activity-based overhead rate.
C) assigning overhead costs to products.
D) analyzing the activities performed to manufacture a product.

Question

Quizplus · Accepted Answer

A well-designed activity-based costing system starts with analyzing the activities performed to manufacture a product. Once the activities are analyzed, the next steps involve identifying the activity-cost pools, computing the activity-based overhead rate, and assigning overhead costs to products.

A Well-Designed Activity-Based Costing System Starts with