Skip to main content
Business LibreTexts

4.6: Glossary

  • Page ID
    10609
  • GLOSSARY

    Activity-based costing A costing method that first assigns costs to activities, then assigns costs to products based on their consumption of activities.

    Activity center An activity center is a unit of the organization that performs some activity.

    Cost driver A cost driver is an activity or transaction that causes costs to be incurred.