Question: Diligent Delivery Services (DDS) is in the process of setting up an activity-based costing system. So far, the firm has traced its costs to several

Diligent Delivery Services (DDS) is in the process of setting up an activity-based costing system. So far, the firm has traced its costs to several different activities, including number of deliveries and kilometres driven. In addition to these two activities, which of the following would be an appropriate activity for DDS to use in their system?

Hours of maintenance time

Dollars spent on advertising

Number of packages shipped

Litres of fuel used

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