Refining a cost system includes ________.
A) classifying as many costs as indirect costs as is feasible
B) creating as many cost pools as possible
C) identifying the activities involved in a process
D) seeking a lesser level of detail

Question

Quizplus · Accepted Answer

Refining a cost system involves identifying the activities involved in a process in order to accurately allocate costs. Classifying as many costs as indirect costs as is feasible and creating as many cost pools as possible may actually lead to a less accurate cost system. Seeking a lesser level of detail may also result in a less accurate cost system.

Refining a Cost System Includes ________