Traditional cost accounting assigns production costs differently, depending on the product or service. Which cost accounting method is made easier by the implementation of an ERP system?
A) Activity-based costing
B) Machine setup costing
C) Job-order costing
D) Process costing

Question

Quizplus · Accepted Answer

Activity-based costing (ABC) is made easier by the implementation of an ERP system because ERP systems can efficiently track and allocate costs based on specific activities, providing the detailed data required for ABC.

Traditional Cost Accounting Assigns Production Costs Differently, Depending on the Product