Relative to traditional product costing,activity-based costing differs in the way costs are
A)processed.
B)allocated.
C)benchmarked.
D)incurreD.

Question

Quizplus · Accepted Answer

Activity-based costing differs from traditional product costing in the way costs are allocated. Traditional product costing typically uses direct labor or machine hours as the allocation basis, whereas activity-based costing identifies and allocates costs based on the specific activities that drive those costs.

Relative to Traditional Product Costing,activity-Based Costing Differs in the Way