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Management · Q146

Management Accounting

Graduate and Post Graduate · Management · question 146

Q146

A costing system, which focuses on individual activities as particular cost object is classified as

A.
activity based costing
Answer
B.
improved costing
C.
learned improvements
D.
positive effectiveness

Answer: Option A

Solution

Answer: Option A
Solution:
A costing system, which focuses on individual activities as particular cost object is classified as activity based costing. Activity-based costing (ABC) is a costing method that assigns overhead and indirect costs to related products and services.