The technique which tries to identify real cost of serving an individual customer is called ______?

Correct answer: A. activity based accounting

A. activity based accounting
B. cost based accounting
C. price based accounting
D. turnover based accounting

Explanation

Activity-based accounting, more commonly called activity-based costing, assigns service costs according to the activities used by each customer. This helps reveal the actual cost of serving individual customers rather than applying a broad average.

Written and checked by Zahid Hussain, editorLast updated 18 September 2026

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The technique which tries to identify real cost of serving an individual customer is called ______?

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