2. involves analyzing the functionality of a product to determine which functions add value to the customer and then 3. Activities such as expediting an order or scheduling a production run are considered 4. When managers use activity-based costing data to improve operations or reduce costs, it is called 5. In a volume-based cost system, the varies in direct relation to volume. 6. 7. activities include research and development and product testing. 8. This stage of ABC is assigning indirect costs to activity pools with the goal to create as few pools as possible: 9. Dividing the activity demands of each individual product by the total quantity of the cost driver results in a(n) 10. cost systems tend to undercost low-volume, customized, or complex products. 2. involves analyzing the functionality of a product to determine which functions add value to the customer and then 3. Activities such as expediting an order or scheduling a production run are considered 4. When managers use activity-based costing data to improve operations or reduce costs, it is called 5. In a volume-based cost system, the varies in direct relation to volume. 6. 7. activities include research and development and product testing. 8. This stage of ABC is assigning indirect costs to activity pools with the goal to create as few pools as possible: 9. Dividing the activity demands of each individual product by the total quantity of the cost driver results in a(n) 10. cost systems tend to undercost low-volume, customized, or complex products