The effort expended to identify those factors that are the root causes of activity costs is(are) called:
A)Driver analysis
B)Activity outputs
C)Activity inputs
D)Value-added activities

Question

Quizplus · Accepted Answer

Driver analysis is the process of identifying and analyzing the factors that drive activity costs. It helps to identify the root causes of costs and enables a company to make informed decisions to reduce costs and improve efficiency. Activity outputs and inputs refer to the goods or services produced by an activity and the resources used to produce them, respectively. Value-added activities are those activities that add value to a product or service, as perceived by the customer.

The Effort Expended to Identify Those Factors That Are the Root