Respuesta :
Answer:
The correct answer is letter "B": Identification of cost pools, identification of cost drivers, calculation of pool rates, assignment of cost to products.
Explanation:
Activity-Based Costing or ABC is a managerial accounting method that assigns certain indirect costs to the products incurring the bulk of those costs. ABC is primarily used in the manufacturing sector to make a better calculation of the true cost of production per unit. For that purpose, ABC follows this sequence:
1) Identification of the activities for the creation of the product
2) Divide the activities into cost pools
3) Assign each cost pool to a cost driver
4) Calculation of the cost driver rates
5) Assignment of cost to products
The proper sequence of events in an activity based costing system is:
- Identification of cost pools,
- identification of cost drivers,
- calculation of pool rates,
- assignment of cost to products.
An activity-based system is the method of accounting that accounts for all the daily operations of the business. The activities that take place in the firm to run the business smoothly and grow it at maximum heights, this method is very useful and is utilized for further opportunities.
The proper sequence of events in an activity-based costing system involves the first step as the identification of the cost that has been pooled.
The second comes with the identification of the cost drivers or the sources that leads to the rise in the cost. The next one is a calculation of the pool rates and the last comes with the cost of the products.
Therefore, the correct option is b. Identification of cost pools, identification of cost drivers, calculation of pool rates, assignment of cost to products.
To know more about the costing, system, refer to the link below:
https://brainly.com/question/25056275
