Final answer:
Activity-based costing systems provide highly relevant cost information for decision-making, enabling accurate cost assignment to enhance organizational goals and identify cost improvements in a time-bound manner.
Step-by-step explanation:
The costs provided by a well-designed activity-based costing (ABC) system are highly relevant to a decision. In an ABC system, costs are assigned more accurately to products, services, or activities, ensuring that the cost information is attainable and supports other goals within the organization.
This costing method helps in identifying and eliminating non-value-adding activities, making it easier to focus on achievable improvements. Moreover, because it provides detailed insight into where and how costs are incurred, it becomes a critical tool in decision-making processes that are time-bound, setting specific targets and deadlines for cost efficiency and budgeting purposes.