The cost of implementing an ABC system is likely to be lower if the number of times an activity is performed:
A) Is low
B) Is high
C) Can easily be tracked
D) Decreases with volume

Question

Quizplus · Accepted Answer

The cost of implementing an Activity-Based Costing (ABC) system is likely to be lower if the activities can easily be tracked. This is because the ease of tracking reduces the complexity and effort required to collect, process, and analyze data, thereby lowering the overall implementation cost.

The Cost of Implementing an ABC System Is Likely to Be