5 points Which one of the following statement is true? OU Most organisations that use have two costing sites the official contine stem which is used to prepare external ancial reports, and the Anc wstem, which is ved for intero decision making and for managing activities When combining activities in an activity based contem, activities should be grouped together at the same level. Forecample, batch teve activities should not be combined wat unit level activities C. Unit level activities are as a result of the total volume of production and are performed each time a unit is produced w. Actity based conting as a number of actory cost pooks, each of which is allocated to products on the banks of direct labour hours OV. The first stage allocation in activity based costing is the process by which overhead costs are assigned to products before they are atsipried to customers On Activity Pates in activity based costing are computed by dividing costs from the first stage allocations by the activity measure for each activity cost pool OVH in the second stage allocation in activity based costing activity rates are used to apply costs to products, customers, and other cost objects V. An activity based costing system is generally easier to set up and run than a traditional cost system & Athly based costing is a costing method that is designed to provide managers with cost information for strategic and other decisions that potentially affect ord variable costs Xin activity based costingas in traditional costing systems, manufacturing costs are not assigned to products