In the second-stage allocation in activity-based costing, overhead costs are allocated from activity cost pools to products. Group of answer choices True False

Respuesta :

It is TRUE that n the second-stage allocation in activity-based costing, overhead costs are allocated from activity cost pools to products.

What is activity-based costing?

Activity-based costing is a cost allocation system in which overhead costs are first assigned to activity cost pools before being allocated to products using activity measures.

Activity in an activity-based costing system is an event that consumes resources.

Thus, it is TRUE that n the second-stage allocation in activity-based costing, overhead costs are allocated from activity cost pools to products.

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