The First Step in Conducting a Cost Analysis Is To

Multiple Choice

The first step in conducting a cost analysis is to:

A) Determine whether to use a full-cost or a contribution-margin approach
B) Allocate natural costs to functional cost centers
C) Break costs of revenues into relatively large blocks so that little meaning is lost within each block
D) Determine which segment of the population most needs to be analyzed
E) Specify the purpose for which the study is being done