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Activity Based Costing
?
An activity-based costing system uses which of the following procedures?
Overhead costs are traced to activities, then costs are traced to products.
Overhead costs are traced directly to products.
Overhead costs are traced to departments, then costs are traced to products.
All overhead costs are expensed as incurred.
Show Result
Correct
- Your answer is correct.
Wrong
- Your answer is wrong.
Detailed Answer
Correct answer: (A)
Overhead costs are traced to activities, then costs are traced to products.
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