Sam Snead has formulated the following list of statements about contemporary developments in managerial accounting.
1. Just-in-time processing results in a push approach; that is, raw materials are pushed through each process.
2. A primary objective of just-in-time processing is to eliminate all manufacturing inventories
3. A major disadvantage of just-in-time processing is lower product quality.
4. A primary benefit of activity-based costing is more accurate and meaningful product costing.
5. A major advantage of activity-based costing is that it uses a single unit-level basis, such as direct labor or machine hours, to allocate overhead.
Identify each statement as true or false. If false, indicate how to correct the statement to make it true.