Asked by

Anthony Soriano
on Oct 11, 2024

verifed

Verified

An activity measure in activity-based costing expresses how much of an activity is carried out and it is used as the allocation base for assigning overhead costs to products and services.

Activity Measure

A metric or index used to gauge the extent or level of activity undertaken in a particular process or operation.

Activity-based Costing

A method of allocating overhead and indirect costs to products or services based on the activities that generate those costs.

Overhead Costs

General business expenses that are not directly attributable to a specific product or service but are necessary for the business to operate.

  • Comprehend the concept of an activity measure and its role in allocating overhead costs in activity-based costing.
verifed

Verified Answer

SZ
Saylor ZamoraOct 15, 2024
Final Answer:
Get Full Answer