Which of the Following Statements Is True with Regard to Activity-Based

Multiple Choice

Which of the following statements is true with regard to activity-based costing rates?

A) The premise of ABC is that activities are what cause costs to be incurred.
B) ABC is another way to refer to a multiple departmental rate situation.
C) There one basic stage to ABC.
D) ABC is simpler and less expensive to implement than other traditional methods of allocating overhead costs.
E) All cost drivers used to determine the rates will be unit-level drivers.