Question

It is possible to ascertain most accurate and realistic product cost by adopting :

a) activity based accounting
b) activity based information
c) activity based management
d) activity based costing​

Answer 1

Answer:

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Answer 2

d) Activity based costing is possible to ascertain the most accurate and realistic product cost by adopting.

Explanation for the answer:

• Activity-based costing is a more accurate method of product/service costing.
• It leads to more exact and accurate pricing decisions.
• It increases the knowledge of understanding overheads and cost drivers.
• It makes costly and non-value activities more identifiable and visible, it also allows managers to reduce or eliminate them.
• Hence, the correct answer among all the options is option d) Activity based costing.

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