With activity-based costing, overhead costs are assigned using:

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Activity-based costing assigns overhead costs using cost drivers, which are factors that influence the consumption of resources. This method of costing takes into account the different activities that are involved in producing a product, and assigns the overhead costs to those activities based on their level of consumption. This provides a more accurate allocation of overhead costs to products compared to traditional methods like using direct labor hours or machine hours.

With Activity-Based Costing, Overhead Costs Are Assigned Using