Hubbard,Rice and Galvin recommend identifying cost drivers by:
A)looking at the cost structure by broad category of expense
B)looking at the useful information provided by functional costing
C)establishing a value chain or set of activities that the organisation performs
D)none of the above

Question

Quizplus · Accepted Answer

Hubbard, Rice and Galvin suggest identifying cost drivers by establishing a value chain or a set of activities that the organization performs. This approach helps in identifying the specific activities that increase costs and helps in designing effective cost management strategies. Option A can be too broad, while option B may not always be applicable to all organizations. Option D is not a relevant option.

Hubbard,Rice and Galvin Recommend Identifying Cost Drivers By