Which of the following statements is true regarding activity-based costing (ABC)?

Which of the following statements is true regarding activity-based costing (ABC)?
A . An ABC costing system is similar to conventional costing systems in how it treats the allocation of manufacturing overhead.
B. An ABC costing system uses a single unit-level basis to allocate overhead costs to products.
C. An ABC costing system may be used with either a job order or a process cost accounting system.
D. The primary disadvantage of an ABC costing system is less accurate product costing.

Answer: C

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