IIA Exam IIA-CGAP Topic 6 Question 18 Discussion

Actual exam question for IIA's IIA-CGAP exam

Question #: 18
Topic #: 6

Activity-based costing (ABC) enables managers and auditors to directly link the costs of program resources to the objects produced, whether the objects are products or services. In addition, activity based costing can be used to obtain cost information to use in the following ways:

AFee setting --- Government organizations often develop fee or payment schedules for units of service.

BMaking contracting-out decisions --- many organizations are attempting to cut costs either by outsourcing various operations or by consolidating services.

CAll of the above.

DNone of the above.

Show Suggested Answer

Suggested Answer: C

by Britt at May 06, 2022, 10:35 PM

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