Activity-based costing is a two-stage overhead cost allocation system that identifies activity cost pools and cost drivers. can be used only in a job order costing system. uses direct labor as its primary cost driver. is the initial phase of converting to a just-in-time operating environment.
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Home » Business » Activity-based costing is a two-stage overhead cost allocation system that identifies activity cost pools and cost drivers. can be used only in a job order costing system. uses direct labor as its primary cost driver.