Which of the following is NOT a valid step when designing an activity-based cost accounting system?
A) Determine the key components of the system.
B) Determine the relationships between cost objects, activities, and resources.
C) Collect relevant data concerning costs and cost drivers.
D) Use a process map to identify areas for operational improvement.

Question

Quizplus · Accepted Answer

Using a process map to identify areas for operational improvement is a valid step in designing an activity-based cost accounting system as it helps to understand the processes involved and how costs are incurred.

Which of the Following Is NOT a Valid Step When