ABC systems ________.
A)usually will undercost complicated or complex products
B)will limit cost drivers to units of output
C)highlight the different levels of activities
D)will allocate costs based on volume
E)comply with GAAP

Question

Quizplus · Accepted Answer

ABC systems highlight the different levels of activities and their associated costs, allowing for a more accurate allocation of costs to products or services. They do not limit cost drivers to units of output, will not necessarily undercost complicated or complex products, and may not comply with GAAP depending on the specific implementation. They also do not allocate costs based solely on volume.

ABC Systems ________