In an ABC system, an activity is best defined as a:
A) Type of task performed in an organization
B) Collection of activities in a particular department
C) Collection of cost drivers associated with a particular cost pool
D) Group of cost pools associated with a particular department

Question

Quizplus · Accepted Answer

An activity in an ABC (Activity-Based Costing) system is best defined as a type of task performed in an organization. This approach allows for more accurate allocation of overhead costs to products or services based on the actual activities that consume resources.

In an ABC System, an Activity Is Best Defined as A