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Select the incorrect statement from the following A. Activity costs are considered relevant for decision...

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Accounting

Select the incorrect statement from the following

A. Activity costs are considered relevant for decision making because the cost of an activity will be avoided if the activity is eliminated

B. Activity-based cost drivers produce better cost allocation than volume-based drivers because they distribute only relevant costs to the appropriate products

C. If overhead costs are allocated on the basis of activities, the amount of overhead allocated to a particular product can be reduced by increasing the number of activities required by the product thereby spreading the overhead costs over more units

D. If highly automated environuts where companies produce many different products with varying levels of production activity based cost drivers are superior to volume-based drivers

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