The traditional approach to cost allocation focuses on accumulating and reporting costs by ________.The activity-based approach to cost allocation focuses on accumulating and reporting costs by ________.
A) cost behavior; resources used
B) departments; activities
C) fixed costs; variable costs
D) product; customer

Question

Quizplus · Accepted Answer

The traditional approach to cost allocation accumulates and reports costs by departments, while the activity-based approach focuses on accumulating and reporting costs by activities.

The Traditional Approach to Cost Allocation Focuses on Accumulating and Reporting