As general manager of the company Respira Feliz Ltd., which is dedicated to the manufacture of two different types of air cleaning systems in residential spaces: Singermen HTX235 and No bacterium TZD297, you are considering the possibility of changing the costing system to these two products. Currently, Respira Feliz Ltd. uses a costing system based on units produced. However, you feel that the company should change to an activity-based costing system. You believe this change would provide you with more accurate cost information, allowing for better strategic decision making. It is necessary to prepare a series of documents for you to present to the company's financial director, CFO, so that the change of the cost management system for the two types of air cleaning systems is seriously considered.

Write a 2-3 page report, using at least 1 reference from Keizer University Library, comparing unit-based and activity-based cost management systems. Give the advantages and disadvantages of each and discuss how these concepts will relate to Aires Frescos S.A. Like any text document, it must follow APA 7 format and include the memo within the content section.

 

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Your Name General Manager Respira Feliz Ltd Date Memorandum To CFO Respira Feliz Ltd From Your Name General Manager Date Date Subject Proposal for Transition to ActivityBased Costing System I am writi... View the full answer