The collection of cost data in an organized way, such as in various categories such as materials, labor, and manufacturing overhead, is called:
A) cost application
B) cost accumulation
C) cost assignment
D) cost reporting

Question

Quizplus · Accepted Answer

Cost accumulation refers to the process of collecting and organizing costs in various categories or accounts. This information is used for analyzing costs and making decisions related to pricing, budgeting, and cost control. Cost application refers to the process of applying costs to specific products, services or processes. Cost assignment refers to the process of assigning costs to specific cost objects, such as products, customers or departments. Cost reporting refers to the process of presenting and communicating cost information to relevant stakeholders.

The Collection of Cost Data in an Organized Way, Such