The Objective of Activity-Based Budgeting Is

Multiple Choice

The objective of activity-based budgeting is

A) to allow multiple activities to be used as cost drivers rather than just one item such as direct labour hours.
B) to compute the cost of performing activities.
C) to refine the budgeting process by assigning indirect costs into activity cost pools.
D) to classify costs by functional area and assign them to related activities.
E) to classify costs as to whether they are value added or non-value added.