An activity cost driver is used to assign activity costs to what?
ACost objects
BResources
CCost pools
DCost centres
Answer & Solution
Correct answer: A. Cost objects
Activity drivers measure demand placed on activities and carry activity cost on to the cost objects.
Keep practising Strategic Cost Management and Emerging Business Models
Browse all Strategic Cost Management and Emerging Business Models questions for CA Final, or explore more Cost and Management Accounting topics.
Related questions
Why do subscription firms offer a free trial?A sharing economy chiefly enables reuse of what?In a network effect, the value to a user depends on what?Who pioneered the subscription model in the 17th century?In a subscription business model, what does the customer pay?Why is freemium especially suited to software?Under a freemium pricing strategy, what is provided free of charge?In whole-life project appraisal, which option is typically chosen?