batch size
complexity
process steps
all of above
Answer is Right!
Answer is Wrong!
The correct answer is D. all of above.
In an activity based costing implementation, product’s diverse demand is based on batch size, complexity, and
process steps.Batch
size is the number of units produced in a single production run. A larger batch size means that more resources are required to produce the product, which increases the cost.Complexity is the level of difficulty involved in producing the product. A more complex product requires more resources and time to produce, which increases the cost.
Process steps are the individual steps involved in producing the product. The more process steps involved, the higher the cost of production.
All of these factors contribute to the diverse demand for products and the need for activity based costing.