Costs associated with developing an ABC system most likely include:
A) Reduced profits
B) Dissatisfied customers
C) Accounting and information system modifications
D) Increased wages for production line employees

Question

Quizplus · Accepted Answer

The costs associated with developing an Activity-Based Costing (ABC) system most likely include accounting and information system modifications. This is because implementing an ABC system requires changes to how costs are tracked and allocated, often necessitating updates or changes to existing accounting and information systems to accommodate the new methodology.

Costs Associated with Developing an ABC System Most Likely Include