ABC:
A)has been very successful because the interests of those who undertake it and those who are being evaluated are aligned.
B)has been very successful because the use of this technique has no opportunity cost.
C)has been very unsuccessful because it lays too much emphasis on quality management..
D)has been very unsuccessful because those who undertake it are those who are being evaluated.

Question

Quizplus · Accepted Answer

Activity-Based Costing (ABC) faces challenges when the individuals or teams responsible for the costing process are also the subjects of the evaluation. This situation can lead to conflicts of interest and biases, potentially compromising the objectivity and accuracy of the costing outcomes.