Which of the following statements is true of activity-based costing? ...
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Accounting
Which of the following statements is true of activity-based costing?
| A) In activity-based costing, direct labor-hours is always the best allocation base to allocate all non-manufacturing indirect costs | ||
| B) The main advantage of activity-based costing over peanut-butter costing is the accurate distribution of all direct costs to the products. | ||
| C) Activity based costing broadly averages or spreads the cost of resources uniformly to cost objects such as products or services. | ||
| D) Activity based costing is more useful to companies with high product diversity than companies with single product line . |
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