Question

Product costing system design or selection:

A. Involves cost management expertise.
B. Requires an understanding of the nature of the business.
C. Should provide useful cost information for strategic and operational decision needs.
D. Should be cost effective in design and operation.
E. All of these answer choices are correct.

Answer 1

The answer is E. All of these answer choices are correct.

Step-by-step explanation:

The answer to the question is E. All of these answer choices are correct. When designing or selecting a product costing system, cost management expertise is required. Additionally, an understanding of the nature of the business is necessary to ensure that the cost information provided is useful for strategic and operational decision needs. Furthermore, the system should be cost-effective in its design and operation.