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Activity-Based Costing (ABC)can Refine and Improve Cost Allocations Using Either

Question 81

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Activity-based costing (ABC) can refine and improve cost allocations using either job-order or process cost systems.There are three significant differences between ABC and traditional cost accounting approaches.An ABC system attempts to identify anything that has a cause-and-effect relationship on costs.This cause-and-effect relationship is known as a


A) cost stimulator.
B) overhead stimulator.
C) cost driver.
D) cost catalyst.

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