Which of these are possible cost drivers under activity-based costing?
A)Number of deliveries.
B)Hours of storage of raw materials.
C)Number of set ups of machinery.
D)All of the above.

Question

Quizplus · Accepted Answer

All of the choices are possible cost drivers under activity-based costing. The number of deliveries can affect costs related to transportation and logistics, the hours of storage of raw materials can affect costs related to warehousing and inventory management, and the number of set ups of machinery can affect costs related to maintenance and equipment utilization.

Which of These Are Possible Cost Drivers Under Activity-Based Costing