9.. Which of the following statements is true?O a. None of the given answers is correct.O b. Activity based costing (ABC) can be used for external reporting.O c. Traditional costing can be used for internal reporting.O d. Acompany can either choose Activity-based costing (ABC) or the traditional costing systemto allocate its costs for external reporting.O e. Activity based costing can only be used in manufacturing companies

Option a is wrong because one of the options is correct. Option b is wrong because ABC can only be…

Answered: internal reporting.

Business

Accounting

internal reporting.

Managerial Accounting: The Cornerstone of Business Decision-Making

7th Edition

ISBN:9781337115773

Author:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Publisher:Maryanne M. Mowen, Don R. Hansen, Dan L. Heitger

Chapter4: Job-order Costing And Overhead Application

Section: Chapter Questions

Problem 1MCQ: Which of the following statements is true? a. Job-order costing is used only in manufacturing firms....

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Question

9..

Which of the following statements is true?
O a. None of the given answers is correct.
O b. Activity based costing (ABC) can be used for external reporting.
O c. Traditional costing can be used for internal reporting.
O d. Acompany can either choose Activity-based costing (ABC) or the traditional costing system
to allocate its costs for external reporting.
O e. Activity based costing can only be used in manufacturing companies

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