Which of the Following Is a Sign That an ABC

Multiple Choice

Which of the following is a sign that an ABC system will provide benefits?

A) There are relatively few indirect cost pools associated with the product and the indirect costs are a small percentage of total product cost
B) All the products produced are similar and sell in equal proportions (sales mix)
C) Operations staff has no substantial disagreements with the reported costs of manufacturing and marketing products and services.
D) All or most indirect costs are treated as output-unit level costs.