If the Machining Department is the cost object,attaching costs to the Machining Department is called ________.
A) cost pooling
B) cost accumulation
C) cost assignment
D) applying a cost driver

Question

Quizplus · Accepted Answer

Cost assignment is the process of attaching costs to a cost object, which in this case is the Machining Department. Cost pooling involves combining costs from multiple cost objects, cost accumulation is the process of collecting costs, and applying a cost driver involves identifying the activity or factor that causes costs to be incurred. None of these options fully describe the process of attaching costs to a specific cost object like the Machining Department. Therefore, the best answer is C) cost assignment.

If the Machining Department Is the Cost Object,attaching Costs to the Machining