Which One of the Following Statements Is Correct? the Term

Multiple Choice

Which one of the following statements is correct? The term 'absorption costing' describes:

A) The accumulation of direct costs and production overheads which is applied in the costing of work-in-progress and finished goods inventory.
B) The process of accumulating those direct costs that can be identified with a particular batch of products.
C) The calculations involved in working out the costs attributable to a particular cost centre.
D) The accumulation of costs for decision-making purposes.