Which of the following is not an objective of Activity Based Costing ?

CS Executive · Corporate and Management Accounting · PYQS · December 2020
Which of the following is not an objective of Activity Based Costing ?
(A) Activity Based Costing is a two-stage product costing method
(B) The cost pools in the two-stage approach now accumulate product related cost
(C) It is based on the concept that products consume activities and activities consume resources
(D) None of the above

Answer & Explanation:

Correct Answer: Option (B)

Official answer key: (B).

Topics: Cost Accounting

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