Activity-Based Costing

Multiple Choice

Activity-based costing

A) is a tool for identifying the activities that cause a company's product to be strongly differentiated from the products of rivals.
B) is far superior to SWOT analysis for analyzing a firm's internal situation.
C) involves developing a "worry list" of problems and issues for managerial strategy making.
D) is an accounting system that assigns a company's expenses to whichever activity in a company's value chain is responsible for creating the cost.
E) involves determining which value chain activities represent variable costs and which represent fixed costs.